90 Degree Angle Braces - $$$$$$$!!

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I don't beleive JT expressed and opinion (other than spelling)?
(J T)

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On Sat, 8 Jan 2005 21:47:26 -0600, "Doug Brown"

What did I miss?
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Sat, Jan 8, 2005, 10:17pm snipped-for-privacy@here.com (Guess who) questions: Which makes your opinion credible, of course?
110% more cridible then his, and that's no bullshit.
JOAT Success is getting what you want. Happiness is wanting what you get. -  Dale Carnegie
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In my line of work METAL I could turn those things out by the 100's if I had too. They are so easy to make. We have a laser so I could cut them accurately......I agree that a piece of plywood cut in a triangle wood do the same thing. I could make the aluminum ones for less than 10.00 a pair.....Brian
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I'm sure you can. What you can't do for $10 a pair is print a catalog, mail it out to your customers, inventory them in a warehouse, buy the shipping supplies and pay someone (along with their benefits and insurance) to pack and ship them, do the billing and deduct them from inventory on your database. I'd be happy to call you on your 800 number and order a pair though.
Seriously, I'll take two pairs for 20 bucks.
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wrote:

I'll take four pairs for $40, if you're up for it. Seriously.
JP
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wrote in message

insurance)
your
Yeah, true, but even if the cost to produce them was $10 - and I highly doubt it's more than about $3, that kind of markup would be way over what's typical for profitability.
--

-Mike-
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Typical selling price for items sold through the retail distribution system have selling prices about 4X the cost of material. Next time you chug a beer, drink a store bought cup of coffee, replace a printer ink cartridge, apply a gallon of paint, see if you can justify your statement in light of the cost of raw material.
--
Ed
http://pages.cthome.net/edhome/



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Yes, often the cost of materials AND labor is bumped 50 -100% going to the wholesaler, who then bumps it again 100%, and then the retailer bumps it 100% again.
So, if it cost 3$ in material, and $2 in labor, it goes out the door to the wholesaler for $10, who then sells it to the retailer for $15-$20, who then marks it up again. Everyone at EVERY LEVEL has to make a profit off that item that cost $3 in materials
John
wrote:

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Tool distributors and retailers don't have anywhere near that kind of markup. 15-20% is much more common.
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I imagine every distributor and every retailer in the world would love to work under the margin scheme you suggest. The reality is far from those types of markups though.
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-Mike-
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system
That markup seems pretty high Edwin. There is more than just the cost of raw material to be considered. There's the cost of manufacturing and potentially middle- costs. That would make the markup on the "produce" less than the 4X for raw materials. The poster we both replied to and the comment we were both commenting on was a finished goods cost of $10.
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The finished cost of $10 is from someone that intends on making an equivalent himself; nothing to do with actual cost. He has not responded yet to my offer to buy them at that price and probably will not. The cost of these brackets is less than the $10 he mentioned.
I'm basing my opinion on what I see and what I have experienced. Take a look at the parts in question. Now look at the operations to make them. Shear a blank, punch press, brake, polish, check tolerances, package, label, warehouse, ship, bill. Now the seller orders them, receives, warehouses, prints a catalog, advertises, receives orders, warehouses, picks order, packs, ships, bills. We've not even considered insurance, operating costs, utilities, employee benefits, taxes, and finally some profit.
I'm basing my opinion (and we both only have opinions) on my experience in doing pricing of manufactured items in both the retail and industrial markets. If you have experience with this, can tell me the steps of manufacturing and associated cost, travel through the supply chain, I'll willing to listen and perhaps change my opinion.
Not related to just this item: Funny how many people complain about the perceived high cost of an item and also complain that industry and retail don't pay their employees enough of a wage to make a living. The retailer is gouging us and making a fortune and at the same time retailers are filing for bankruptcy and their employees are complaining they don't get paid enough and have poor benefits. I do know that I sure don't have the answers.
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label,
Likewise I base my comments on certain experiences. Mine might not totally parallel yours but I do have a great deal of experience in goods in the supply chain and the incremental markups. I have never seen the types of markups that have been spoken about here as a normal part of the supply chain. What I have seen and in this point we might be closer to agreeing more completely, is that specialty shops will tend to price higher simply because of what the market will bear rather than because of costs incurred throughout the supply chain.

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A well taken point. To a degree, I'm a walking contradiction. I'm a capitalist at heart and have no philosophical problem with profit at all. Especially large profits. On the other hand, I'm not often inclined to contribute to those profits without seeing the value for the product. I'm fine with the merchant or the manufacturer getting all they can get, but I'm equally fine voicing my opinion on the worth of the product. Likewise, I am amused at those who complain about high prices and then complain about low wages at places like Wal Mart, etc. For the most part, I don't believe that most major retailers are really gouging all that bad. Competition keeps things somewhat in check. It's just too easy for people to sit back - usually too uninformed, and complain about the huge profits the corporations are making. The simple fact is that profits generally only come through providing what people want.
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-Mike-
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On Sun, 9 Jan 2005 23:06:41 -0500, "Mike Marlow"

...or, moreso, convincing them that this is what they want.
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On Mon, 10 Jan 2005 10:09:00 -0500, Guess who

or from eliminating all alternatives.
you will be assimilated....
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wrote:

There is no pain, you are receding...
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-Mike-
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On Sun, 9 Jan 2005 23:06:41 -0500, "Mike Marlow"

I have some experience with the gems industry. there markups of 100% to 500% are not uncommon, at *each* level of distribution. OTOH, inventory is very expensive and often moves slowly.

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a
them.
warehouses,
costs,
in
I'll
totally
Ah yes - a somewhat unique industry. Furniture is likewise marked up in huge ways, but both of those stand out quite uniquely in terms of the mark up they enjoy.
--

-Mike-
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I can them COD if you like @ 10.00 a pair....Brian You are correct about the marketing with the printing and all that but the raw product can be made for that though.......Brian
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