@Paleface @EvilSandmich also note that in the US pricing is perverse - often times the way insurance works is they will require a discount as a set percentage of the cost.

Similar to this is suppliers to the federal government. The fed will require a base percent off for them to be a "GSA" and many places that have too low of a margin to be allowed just means that small third party sells will be GSA certified and drop ship from them.