I run a small business, and am selling cookies that a friend makes.
They spend 50 to 60 cents a cookie. We've been buying the cookies for
$1.50 and selling them for $2.50. However, I've been thinking that to
make the cookie selling worth our while, we need to pay our cookies
makers $.25 less, or $1.25 a cookie. They feel that this is not enough
profit for them. My question is this: Do wholesalers and retailers (in
the organic cookie business, for example) typically earn the same
profit margin on their sales? If not, what is a typical split?

I don't know of any studies of profit margins in the wholesale cookie
business. But I do know that wholesale and retail margins vary greatly
from industry to industry, and from provider to provider in the same
industry. Profit margins in nonregulated businesses are not set. They
depends on such factors as negotiating ability, differentiation of
product, operational or competitive advantages, cost-cutting ability,
and demand for the product, just to name a few.

So the answer is, no, they don't typically earn the same margin, and
there is no "typical split."

Bottom line: Don't worry about fairness here, because there is no
single fair solution. In a free market, each participant watches out
for himself. Only you know how much profit you need. Only your
supplier knows how much profit he needs. Any number that satisfies
both of you is an acceptable division of the loot. If you demand a
lower price and they're willing to accept it, then it's a worthwhile
profit margin for them. If they reject it, then you have to pay them
full price or find another supplier. Keep in mind, the supplier could
right now be asking another Google researcher. Whether he can
justifiably raise the price to $1.75 per cookie.

i think this was a decent answer, especially since I only offered $3
for the answer. some statistics would have been helpful, but I
understand I'm not paying for a heck of a lot of research. i was just
hoping there was a website out there with this info.