New Teres Direct Drive Motor Available as Option

+++ I was going to mention the hole in Pauly's economics +++

Yep, not having a dealer network does save money. 100% correct. But who do you think pays for R&D? Who pays for the machine tools? Yep, you guessed it … you do.

Sunk costs such as R&D and tooling costs are factored in the price, and low retail prices can be achieved only through economies of scale. The more units that can be moved, the lower the cost assigned to each unit. This is economics, pure and simple.

Besides, you think Oracle still has outstanding liabilities on the Delphi tooling machines? On R&D? I would think zero, no? The overheads on a Delphi is potentially much lower than that on a Teres.

If that sounds far fetched to you, consider a DL103. Dirt cheap with amazing performance. Denon can sell them at this low price via a dealer network because ALL
sunk cost pertaining to machine tools and R&D have been written off many years ago.

+++ His dealer may not itemize inventory carrying costs and GSA expenses on their invoices, but they certainly built them into their markup before quoting Pauly a selling price +++

My dealer doesn’t carry stock.

+++ If they didn't do so, they'd go out of business +++

This will come as a big surprise to him.

+++ Saving 1-2% via improved cash flow by paying 80-100% more to subsidize dealer and distributor inventories is no savings, and believing so is naïve +++

I cannot comment on your numbers other than to say that if they are indeed accurate no audio dealer on the planet should make use of a dealer network. Since the majority do, and I assume they have sound business plans, I can only surmise your numbers are either totally fictitious and/or you have left some ‘minor’ facts out to ‘prove’ your point.

That’s really not nice Doug.

+++ If there's a distributor in the chain between Oracle and the dealer then there are two margins. +++

Actually, there are many more margins than only two. Unless Oracle mine the metals and manufacture all the components themselves, I paid multiple margins. I do believe Teres also has suppliers, so you paid multiple margins also.

And if you used a credit card or cash card, you possibly help finance my Oracle. Thanks Doug.

+++ That's my idea of a good ROI. +++

Indeed. Since ROI is Net income/Investment, ROI is 0% if you keep the product, < 0% if you return it. To me, <0% ROI is not a good thing.

+++ naïve economics +++

LOL. Yep, it sure is.

Regards
Paul

I'd like to get back to the original topic. Since there are no "Primate Reports" to read I guess I'll play along.

I'm sorry. I can't any of this "investment" argument seriously at all! C'mon, we're talking about depreciable consumer goods here! There's no investment. You'd better be spending play money on this stuff or you're going to be in the soup lines later in life. I can just see me taking this idea to my investment dudes. "Hey, guys! I've got this great idea! Audio equipment!" I'm sure I could still go on with my great idea even after they all tell me to take my business elsewhere.

It's o.k., Banker Boy. I'm sure your Oracle is a fine 'table.

Oh! And since we're waggling packages at each other, every time you use the internet, pick up a phone, turn on your t.v., your helping fund my toys. Thanks, Banker Boy!

Pauly,

Kudos to the 3 Ds and Cello,

"Taking a chance," might be considered to be a badge of honor, unless you have the hours, years, and dollars, AND WILL, to make a mistake by trying something that might make a difference. If proven performance is what you're looking for , check out the Audiogon listings for " The best of everything," on the market yesterday, you can't beat the price.-----The price is BANKABLE.


I spoke with Chris at Teres, thanks Larry, regarding TT isolation and the conversation was beneficial. True gentleman in the audio industry will impart their knowledge without a ulterior motive-- financial.


I've been reading the Icons of Audiogon for a few years and finally decided to couple their TT knowledge and experience with my DIY gene. I've spent enough building a TT, that should be up and running in a month or two, that would have enabled me to purchase a Walker, or the Continuum, the cheap model!!. When it's done, I'll love the way it sounds, after all , half of enjoying music is the mood you're in when the stylus drops. When you couple technology with musical passion, you win, regardless of the price you've paid for the gear.


Being a small business owner in Virginia, with only one competitor 40 times my size, on the California - Mexico border, I realize that value and service is what it takes to survive.

If you rely on, and buy, the tried and true engineering of yesterday, Just buy USED.

Ken

This discussion of business/marketing/sales has been truly, um, fascinating, but still no replies to what the 'Verus' option will do the finish of the Teres wood platter. I won't fully repeat my post, but any thoughts and or concerns? Will new owners be applying 'friction' tape to the platter to protect it? Can no one hear my cries of pain and anguish?

Johnbrown,

Sorry your very interesting question got lost in the (fascinating) noise floor of that other discussion.

Cocobolo is pretty durable of course. I imagine the O-ring will wear about 100 X faster. I'm certainly not worried about any short term wear or damage during listening tests.

Still, it's a valid question. Even if the wood doesn't wear, any material worn off the O-ring could get deposited in the grain and leave a permanent ring.

How about a strip of metal? A flat black finish would virtually disappear against the cocobolo background. Might even look nice...