Your typical $30k watch has way more than $1k of highly skilled hand labor that's gone into it. Agreed that the component prices don't add up to close to $30k,

Your typical $30k watch has way more than $1k of highly skilled hand labor that's gone into it. Agreed that the component prices don't add up to close to $30k, but throw in all the other overhead typical of manufacturing and selling luxury goods, including labor, advertising, servicing, maintaining physical stores, etc., and the profit margin on those watches is gonna less than, say, selling Internet ads.