What makes an expensive speaker expensive

Personally even if I had that kind of money, I'd never spend it.  The best speakers I've ever heard in a system are the Tidal (the big ones at well over 100k) and the Vandersteen 7 Mk 2's at 62k.  The only reason I can say the Vandy's to me are a great value is that they sound better (to me) than anything over their cost AND for only 15k more (or so) you can now get their dedicated high pass matching subs to make even bigger sound in your room if that's what you feel you need.  That's still only 77k total.  To me, that's paying off a huge chunk of my mortgage so that's never happening, lol.  For folks who can afford it, I'm very happy for them and don't blame them one bit for spending what they want.  They earned, or stole it so....;)

But...if you have a very big room and listen to orchestra and want great sound - cost of the speakers and amps will be much higher. Other than that, $100k for the entire system is more than enough, in my opinion. In used prices this would be, say, $55k. Still a lot of money but within the reach of many.

One thing that keeps coming up is that we are paying for R&D.  Wrong. If a speaker maker sold speakers for the sum cost of their expenses it would be almost like loosing money. 

No product, good or service should be sold at cost.  You always pay for more than what it costs, you pay for the perceived and relative value.  That perceived value is complicated, but that's what product managers get paid to calculate. 

Mind you, I buy and sell services and goods, so I'm not saying this practice is wrong.  I just want to make sure readers and posters understand this. 

Erik, I thought we had discussed that earlier in this thread.  Maybe not.  Yes of course it's what people will pay. I would say that most speakers costing X amount are priced up from what a companies normal pricing is.  I will say that we do pay for R&D.  You have to as that's part of the pricing as you know.  Do we pay a premium on top of costs with normal retail channels?  of course we do.  Each company has a different way to pricing obviously.

Ctsooner I agree with most of what you have said except for your comment about an expensive speaker using paper drivers.  Paper is a great cone material and most of the speakers using paper cones always seem to sound more natural to my ears. And just because it is paper doesn't mean it's not high tech.  People who have a Coral 10 that needs a recone can attest to that, it can't be done. 
And as far as the folks who are saying part of the high cost is R and D, give your head a shake, there are no new developments in speaker technology!!  The best speakers I have heard are still older efficient designs with paper drivers.
Just like 99% of high end audio megabuck speakers are a huge ripoff!  When I go to the shows I invariably never enjoy the high dollar rooms with the megabuck SS electronics. They are very detailed and some of them are impressive sounding but they never sound like proper music to me. 
And ctsooner don't take this as a slight against vandersteen, I think they are one of the few that actually do R and D and try to give you something for your money.  I enjoy them and used to own a pair.