The rules here are similar to the US and Canada, but large immigrant populations may operate outside of them, enthusiastically haggling in their neighbourhoods or in stalls or markets they run and frequent.
Stores that use price tags may not play the game, but in markets and at souvenir shops, feel free to bargain away.
Haggling central of the world! Even in countries dripping with oil wealth, the foreigner attempting a purchase in a souk or shop should be wary of bring overcharged and ready to do battle.
Haggling is traditional and still expected, althought the old patterns are being whittled away. Seek local guidance, but typically a street or market seller will offer you a first price that is unreasonably high. A notable exception is Japan, where you may be perceived as crude and uncouth if you ask for a lower price.
If you are on your own, act confident and pretend to be experienced.
Feel free to laugh or show astonishment at an initial high price.
Your first offer should be well below what you are willing to pay, so that you have plenty of room to move. Many experienced hagglers advise starting at less than half of where you want to end up.
If things aren’t going your way, try turning away as if ready to leave. A lower price may be forthcoming.
Do not insult the vendor personally.
Don’t go back! Remember that sourvenirs are readily available – you will probably see it again.