This article is a travel topic.
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Haggling (bargaining) is common in some countries, such as China, Turkey and Egypt. If you don't haggle, it is highly likely that you will get ripped off, because vendors expect a bit of haggling and state their prices higher than what they expect to receive. Some points to keep in mind:
But when bargaining, do so responsibly.
Some advice on bargaining in a Chinese tourist town is in Yangshuo#Buy; some of it would apply elsewhere.
And finally a trick that has been tested in Egypt and it has proven to work well: usually their first offer for the price is at least five times, but it can be ten or even a hundred times bigger than a reasonable price. First decide what you are actually willing to pay. Let us say that in this example it is 20LE. If you ask for the price, you may get a reply "120LE". Now you offer 22LE. You may then be offered something like 110LE. Then instead of going up, you start going down with the price, your new offer will be only 20LE (your predefined price limit). If the bargaining continues you continue dropping your offer. Pretty soon he will understand where the bargaining is going and you get a comfortable price or - at least - you get rid of the vendor.