Price Issue

Most Americans only negotiate prices for items at the extremes of the economic spectrum: houses, cars, and at garage sales. Yet in much of the world negotiating cost is routine. When you visit China, you will have the opportunity to try your skill at this ancient economic tactic. It may seem intimidating at first, but if you try it you might find it interesting--and you'll certainly save money. Here are a few tips to help you:

•  Remember that these are strictly cash transactions-no traveler's checks, credit cards, or personal checks.
•  Bargaining is not practiced in state-owned shops, department stores, or many small businesses; it is mostly confined to markets, street fairs, or other small retail venues.
• Carry a pocket calculator to determine expenses in U.S. dollars and to "speak" for you during transactions. Vendors  often state their asking price via calculator; you can  counter-offer in kind. The operative phrase here is "asking price." Vendors ask for top dollar but expect to come down to clinch the sale.
• Offer half and pay only about 70 or 75% of the asking price. Do not display a lot of interest in the item you like. Look at several things, even if you do not intend to buy them. Later, as if an afterthought, ask about the item you want. Some shops will offer you 50% off the sticker price right away, but it's still all right to ask for a discount. When the seller refuses your offer, walk away slowly. The seller will probably call you back; then you can work the price down. Many merchants offer identical items identically priced, and they all know it. You will be surprised how quickly prices plummet if it seems someone is about to lose a sale.
• Purchasing several items often makes sellers more inclined to lower prices, but do not try to get things for nothing. Many merchants expect to negotiate--some think it strange if you don't--but they still need to get a reasonable price.
• Never continue bargaining once you both agree to a price, and when you agree to buy, do it, even if you change your mind. So be careful. Once agreed to, the deal is closed.
• During negotiations, be careful with your wallet or loose cash. Pickpockets know that an impassioned bargaining session can be distracting.
• Caution: If you are looking for genuine antiques, gems, jewelry, or other high-priced items, ask local people or friend, or your tour guide to refer you to a reputable shop. Street markets are full of bogus commodities and even merchants in some stores may take advantage of your lack of ability to spot the real thing. Consider street markets as the place to get inexpensive mementos, not heirloom treasures