since most options dealing is automated with artificial machines, how does the market maker make money dealing options? you have zero volume in 90% of the contracts. as an individual I would sell those puts and would buy those options why make market for what? as the prices are ridiculous and irrational prices for the options. unnatural market. not a real market if you know what i'm saying it's like rigged market and stock is rigged too.(fixed)
Supply and demand, low volume stock or no demand for options produce wide spreads. If your simply trying to sell premium move on to high volume stocks. If you actually want to get exercised and own the stock, why not make the market with your bid ? The chances are not high you will get filled. As there is probably no one looking for the contract. However, I have had it work out very nicely on some trades. If you sell the put, you better want to buy, as no market maker will come to your rescue with a reasonable quote.
Its not rigged. The market makers have a fair value price for the option say it's $5.00. She then sets her Bid at 4.50 and Ask at 5.50. This is because someone with more information might come along and buy/sell those options from the market maker. She needs to incorporate a margin of safety. For less liquid stocks the market maker has to hold onto the position for longer periods. This usually means more risk for the market maker and therefore she will need to widen her spreads.