Come on! The market price of a product is never determined by the cost of the raw materials. These products may be “over-priced” in your estimation, but they are not marked up 5,000%. What do you think the raw material cost is for all of the bottles of water that are sold for $1? Talk about overpriced! You can get a whole gallon of purified or distilled water for $1. However, there are still costs of doing business in the beverage business. Bottling plants, plastic bottles, warehouses, shipping and distribution, labor costs, marketing, and all of the mark-ups along the way.