Modern Linestages

Naturally all products are marketed with consideration to cost.What I was referring to was that there are no strict norms as to mark-up.All products will sell for whatever the market will bear.

This statement is just not supported by the facts of this industry. Believe it or not, its rather competitive so if someone comes out with an over-priced product they may have troubles selling it. As a result most manufacturers stick to a fairly simple markup formula.

Do you buy into the "urban legend" that some folks mark up the price higher because selling at a reasonable markup, but lower price point, would result in audiophile dismissing the quality of the product?

This may occur in other industries as well, but it seems many believe it to be true in this one. Yes, it must be a competitive market, but you also have to worry about being "too" cheap to be taken seriously as a countervailing pressure.

Lately I've been dividing my attention between Irene and this thread. One is a phenomena that is wreaking havoc, upsetting people and causing a lot of anxiety. The other is a hurricane.

LOL- Great adaptation of the classic lawyer joke!

Atmasphere ,Thank you for your participation and your excellent products as well.Evidently you didn't read my earlier posts on this thread.
Your business model may have a simple markup formula and being you sell direct to end users would you agree that your suggested retail and possibly mark up will differ from a Mfg.that sells through franchised dealers.
Further,would an importer also price components differently then you would.
Lets say the industry mark up is 5X the cost.If the cost is $1000 Are you saying that every mfg,will price that component at $5000 and if that component for whatever reason is deemed superior to the competition,would you agree that it I swill be priced much higher with out regard to the cost.
Products for this hobby will be priced at whatever the market will bear
Again I thank you for your participation and your very informative website

Everything is priced at what the manufacturer thinks the market will bear as long as it is sufficiently above costs and a sufficient profit. If it doesn't sell either he lowers the price or goes out of business.

I think 5X parts and labor is the old retail price giving points to the retailer.