Price Increases

Bigkidz, much of what you just wrote makes a lot of sense. I seem to recall reading an article authored by either Steven Stone or one of his colleagues (Robert Skoff?) that advanced the same points about the relationship of "hard costs" versus MSRP, particularly the points about dealer costs and margins.

Perhaps some A'gon members who are dealers can answer a question about one element of dealer costs, namely inventory. Just guessing about this, but I suspect aside from display and demo units, most dealers do not inventory large stocks of high-end equipment. That is not to say that the cost of display and demos is not significant. Consider -- how many Magico or Wilson speakers can a dealer be expected to have boxed in the back?? OTOH, aside from inventory, I imagine the cost of running a B&M store must be quite considerable, plus there is also the need to make a profit. Otherwise, we're talking about a hobby.

That's why buying preowned top end gear makes a lot of sense for me. I've bought most of my gear preowned for about 60 to 70 percent of MSRP. Having said that ... I won't and don't shop and audition gear in B&M stores. I have mentioned many times before that I won't take up a salesperson's time unless I intend to buy retail.

Cheers,

BIF

BIF I agree. The dealer I know very well offered to set up speakers that I purchased used. I cannot take up their time unless I am going to pay for the service otherwise I would feel obligated.

In the New World economy

Nothing really makes sense for example:

Well known American loudspeaker company (not telling) make a very well reviewed product known best for their powered towers company makes fantastic sounding product for the most part has a big advertising budget and designs everything in the USA but everything is made in mainland China EVERYTHING.

Interestingly all 12 of the drivers used in the now semi famous behemoth powered tower cost about 1/2 for just one driver found in a small stand mount speaker from someone else who's driver is made in Norway: Yep, roughly $360 wholesale for 12 drivers which includes 6 woofers 4 mid-band and and 2 Chinese made AMT drivers or 1 driver for $700.00 wholesale for 1 driver two are needed plus tweeters....

Moral is you can make a good sounding speaker that retails for 17K and is hugely profitable, sounds good, looks great, except for the excessive use of stamped steel baskets you believe your getting a fine item and your happy enough though in your belly your not really totally believing.

Bottom line it's about making money not necessarily about the love of the music; often 40K speaker is much more cost heavy in proportion than a great 10K speaker.

It's the new math.

If you don't care where it's made that's O.K. But don't laugh at the person of means that pays 250K for a hand built masterpiece that possibly only offers a slight bit of refinement in sound for the great cost.

Q

Nothing really makes sense for example:

Make sense to me and my .02.

Well known American loudspeaker company (not telling) make a very well reviewed product known best for their powered towers company makes fantastic sounding product for the most part has a big advertising budget and designs everything in the USA but everything is made in mainland China EVERYTHING.

Please tell me tell me tell me ...

Good for them. Companies should move to a more business friendly location whether it's lower manufacturer cost, taxes ... and hopefully pass the saving to the end consumers.

It's the responsibilities of governments to create a business friendly environment where companies want to stay and create jobs. Don't blame the companies but the politicians unless you are in their permanent voting block.

If you don't care where it's made that's O.K.

I don't care as long as equal quality.

But don't laugh at the person of means that pays 250K for a hand built masterpiece that possibly only offers a slight bit of refinement in sound for the great cost.

I don't and why should I? It's their $$ and none of my business. Actually insteading laughing, I like join them and buy a 750K hand built masterpiece.

Bottom line it's about making money not necessarily about the love of the music; often 40K speaker is much more cost heavy in proportion than a great 10K speaker.

Is this a TRICK question? Of course IT IS! Why do you work? For your health or to make $$ so you can have a life? Most work at a job, not a hobby.

Moral is you can make a good sounding speaker that retails for 17K and is hugely profitable, sounds good, looks great, except for the excessive use of stamped steel baskets you believe your getting a fine item and your happy enough though in your belly your not really totally believing.

Why 17K? Why not $129? How do you know? Are you Andrew Jones? You know his $129 Pioneer SP-BS22-LR almost made TAS budget product of the year.

In the New World economy

With improved efficiencies from technological advances, we have lower prices, bigger selections, higher quality products and improved quality of life. Haven't gone to an ATM for 10+ years, all bills online EXCEPT dealing with Uncle Sam, HD TV for $500 ... I think this new world economy is great!

It's the new math.

1 + 1 still 2 except slide rulers are out and iPhones are in.

Companies are NOT in the welfare business but to make money. Unlike government, NO profit, NO business. They can't print $$ or raise taxes ... books have to balance. They will charge whatever the market will bear. I guess if one can't afford something, instead trying to improve their own situation, it's easier to blame the companies. "Stick it" to us customers. Just live within your means. Wake Up!

Knghifi,

Pour yourself a drink or two!

While you've parroted my post and I don't totally disagree with you for the most part I think I'm talking about transparency which might make the "math" make more sense.
One drivers landed cost is $12.24 a similar unit is $250.00 this kind of discrepancy is disconnected from what possibly should be reality and when both items are cloaked under the made in USA disguise..well it's confusing.

Do you remember the Shogun bicycle from the 1970's? It was one of the first Company's to make made in China cool as they did not hide their origin of manufacture but kinda bragged about it.

The not telling Co starts with the letter L

Q