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It is my understanding that 250% is lower than normal markup on automotive service parts bought from a. dealership. Economy of cars is weird. As a manufacturer
by NikolaNovak 3y ago
It is my understanding that 250% is lower than normal markup on automotive service parts bought from a. dealership.
Economy of cars is weird. As a manufacturer You sell today for a single price. But you have to account for free, expensive warranty work for many years. And recalls. And you have to manufacture, stock, and make available random parts in somewhat predictable but somewhat not quantities for decades.
So a gadget that may have cost 50c to produce technically, will be priced at 8.99,for any of the above reasons - subsidize warranty costs, storage costs, etc.
Basically, I wish most car parts had only 250% markup!