Question Summary:
What will constitute a reasonable profit?

Question Detail:

If I buy a product for £5.99 at the wholesalers and on the product the original manufacturers have written on it RRP £7.99 - I then sell it for £9.99 and with it offer free delivery, is this permissable or is it not permitted to sell above the RRP? If I was to sell it at the stated RRP exactly I would be selling the product at a loss, the only way I can make a profit is to increase the price to account for my added costs of delivery (which the customer does not pay additional to the item, thus is included within the price increase) to render a sufficient profit. Please can you elucidate the laws regarding "market price", "RRP" and what constitute reasonable profit for a non-essential item. The items in question are "Perfumes, electronic equipment, books and childrens sweets"

Answer :

In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
It is permissible for you to sell an item at a higher price than the RRP price. You may take your expenses into consideration when putting a price on the commodity.[1]
A reasonable profit is a margin that evaluators consider to be within the normal range of sale for that commodity. [2][3]
And Allah Ta’āla Knows Best
Immad Bin Arshad
Student Darul Iftaa
California, USA
Checked and Approved by,
Mufti Ebrahim Desai.
www.daruliftaa.net