[Jimpilot]

The program structure is inherently flawed. The market rate for an installation is determined by competitive bids from independent electricians. So, if you are Qmerit, your price should be $1,500 plus a little less than an indepednent installation going rate. That way, the consumer gets a little discount, and Qmerit wins the business with a tidy little premium. Just by basic rules of economics, every Qmerit quote should be over $1,500.

Even if it’s a simple installation that would run $400 from a local electrician?

 

[Jimpilot]

Pretty much. Just think about basic human nature and economics... If you are Qmerit, what incentive do you have to price that installation at $400? None. They only control would be GM somehow monitoring and auditing for quote-inflation. So, your first thought would be, hey, lets price it at $800. It's funny money, after all. Then after a year of doing it, you realize you were leaving money on the table. So you bump it up to $1,300 to stay below the GM radar. But then the light bulb comes on, and you price it at $1,700...

Even at $1,700, the consumer only pays $200 for a $400 installation. So win-win.

I guess integrity doesn’t figure in it