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Posted

im not really a roadie, but i googled the super record 11 and just got a really fancy looking groupset,with possibly the best looking crankset ive seen in a while

 

but by 5k would that be just for that tiny casette?

 

R5k gives you the opportunity to look at it... once....

Posted

i think its called a profit margin, not sure, not studying that

 

anyway, what do you look at and think "theres no way those cost that much to make"

 

these items can be anything from sunglasses to tyres or even bottle cages

 

these products are usually really good, but the price is still there...

 

hint, my main opinions are in the tags

 

Well it depends if you are looking at what it costs the manufacturer to produce 1 more of the item, or total cost.

 

Looking at Shimano components, they are pretty cheap to produce, but the setup and R&D cost is big.

A forged hub is cheap to make, but the die and forge cost a fortune.

A CNC hub is much more expensive to manufacture per piece, but setup is lower (assuming that CNC time is paid for rather than buying a dedicated CNC for a specific model of hub)

 

Probably the same for frames, R&D and jigging being a large portion of the cost vs. the material and welding/layup

 

Would be really interested to know what the numbers look like myself...

Posted

I was told that you make prices from the top down and not from the bottom up. This means that the cost of manufacture has nothing to do with the selling price (unless you're selling below cost in which case you should stop). A perfect example of this is Apple. They price the product at what the market will pay for it and not based on the cost of manufacture. You can also include Nike, Oakley etc in this category.

Posted

i wouldnt be surprised if computer parts are on the same profit levels as bike parts!

 

if you can get an apple laptop for 15k, and a equivalent spec dell/whatever for 7k, what are the differences in manufacturing cost

 

we all know that the mac will probably be built more solidly, but how much more expensive does that actually make it to... make?

Posted

Compare the price of motorcycle drivetrain components (chains and sprockets) with the price of bicycle drivetrain components.

 

The former, in the case of superbikes, capable of transferring hundreds of kilowatts. The latter, hundreds of watts! A bicycle chain should be more than hundred times cheaper than a bike chain, but in reality it is only a few hundred Rands cheaper. The same can be said about sprockets. Bicycle component prices are just crazy!

Posted

Yip LoneRider.......beat me to it........and could not have said it better........hits the nail on the head.

 

(and for that money you could buy atleast half a dozen Indola Enduros....the mind boggles)

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