Bvdiman and Ack,
I do some work in the trading community, so let me give you perhaps a different perspective. Prices of commodities like Alum and Copper have doubled in the past 18 months alone. Similar situation with carbon fiber. The price of neodymium has risen to RMB 1.4 million per ton from RMB 100,000 per ton since the 2009. That is %1400!! In the last 6 months alone, neodymium have risen %400. Combine that with the weak dollar and you have yourself a hack of a volatility and not much buying power. Not here to defend anyone, I am just saying the way they are built, Magicos are basically a commodity. In all fairness to them, it was made clear to me by the distributor here in HK, back in Feb, that $34K was an introductory price. According to him, they try to keep their margins to minimum so they can offer the value they do. That is one pricing option. The other will be the Tidal or so many others for that matter. Inflate the MSRP stratospherically, and discount it more, or less, depending on your COGS fluctuation.
Perhaps Magico should change their margin structure, so they can absorb fluctuation in COGS more often. I dont see too many people complain about the truly outrages prices of some of their competitors.
I do some work in the trading community, so let me give you perhaps a different perspective. Prices of commodities like Alum and Copper have doubled in the past 18 months alone. Similar situation with carbon fiber. The price of neodymium has risen to RMB 1.4 million per ton from RMB 100,000 per ton since the 2009. That is %1400!! In the last 6 months alone, neodymium have risen %400. Combine that with the weak dollar and you have yourself a hack of a volatility and not much buying power. Not here to defend anyone, I am just saying the way they are built, Magicos are basically a commodity. In all fairness to them, it was made clear to me by the distributor here in HK, back in Feb, that $34K was an introductory price. According to him, they try to keep their margins to minimum so they can offer the value they do. That is one pricing option. The other will be the Tidal or so many others for that matter. Inflate the MSRP stratospherically, and discount it more, or less, depending on your COGS fluctuation.
Perhaps Magico should change their margin structure, so they can absorb fluctuation in COGS more often. I dont see too many people complain about the truly outrages prices of some of their competitors.