Grocery stores average about an 18% margin, with most of the profits being made in perishables. Actual grocery items, especially brand name (Coke, Pepsi, Nabisco, Keebler, etc.) carry margins in the single digits. Larger will say, purchase 20 truckloads of Cheez-Its. Fixed price. Buy all 20 truckloads, Nabisco tosses in an allowance of money, could be 25K, could be 100K.
Dollar stores, discount stores, bleep like that, they buy the remainder from wholesalers, who essentially overbought. Pennies on the dollar, and it's just so the warehouse can clear out costly inventory. If i had to guess, I'd say they're paying .25 tops on the majority of their inventory, and just blowing it out in high volume.
