Not real sure how the cycle works these days.
But, back in the 80's, there was about 5 or 6 servos in fairly close proximity to each other.
The poor bastard who was on the end of the inbound city traffic, would drop his price a bit to try to get some more sales. We'd ring BP and ask if we could beat him (one way or another
)
We'd get told, you can match his price, so everyone would end up matching each others price over a day or so.
Muggins on the end, would call his head office, (Esso) and ask if he could drop again under the others.
He'd get a bit of compensation/rebate so he'd still be making his usual stuff all as opposed to nothing.
Then the others, would all ring Head Office, and the cycle continued until one big player would scream, all rebates stop at midnight.
7am the next morning, one servo would go back to the normal price and you wouldn't see a car in for fuel for hours.
The other Head Offices, would get wind of the change, (ringing each other most likely)and all rebates would be lifted and everyone started selling fuel at the normal price.
Then, around 3 days later....... The poor bastard who was on the end of the inbound city traffic, would drop his price a bit to try to get some more sales.
Here endth the lesson.
