[Collins] Poll

Tue, 14 Jan 2003 09:03:10 -0800

On the subject of pricing..........
The difference between the cost of producing an item and its selling price
represents the value, and hopefully, the inovative contribution, added by
the maker. Some folks can't get anything more than their costs, and it is
simply an example of business that shouldn't exist. A product that
represents a significant improvement in utility and fitness for use may
bring a very high profit indeed, allowing the seller to engage in further
development and to advance the product's utility even further.
Pricing based on cost is a very old idea. When I joined Tektronix in 1961,
they were counting the tube sockets and multiplying by $25.
The idea of a "fair profit" is a neo-socialist concept and is valid only to
the individual who is judging the price as "fair" or "excessive".
If you don't want the product, don't buy it.
Larry in Seattle

-----Original Message-----
From: [email protected]
[mailto:[email protected]]On Behalf Of Bruce J. Howes
Sent: Tuesday, January 14, 2003 7:05 AM
To: 'David Knepper'; [email protected]
Subject: RE: [Collins] Poll

David,

I am bit confused here.

Shouldn't the selling price be something that you determine? Your poll
almost sounds like an open ended question.

A manufacturing firm should quickly be able to calculate the cost of
producing such devices, you add a reasonable profit for your efforts,
and thus establish the selling price. I can understand asking to gauge
the interest so you can calculate production quantities, and hence
reduce cost for a high volume run.

In essence you are asking the list members to set the price "spread" for
you.

For example if it cost $35 for the 270G-1 (and given my background, I
can state that would not be an unrealistic cost), and the majority of
members think it is worth $180, you can now fix your retail price at
$180, rather than taking a fair profit (to which you are entitled).

I would suggest we need to think carefully on this one, it sounds all
too much like a visit to the car dealer.

On the Collins Collectors Board, a recent production run of 4:1 knobs
was handled in a different, and more equitable manner. I would much
rather you do the cost analysis, and come back with estimated selling
prices for the items based on quantity order points. Such a process
would allow a more accurate count, and not inflate the selling price to
the end user.

And that is my two cents.

73 Bruce W1UJR

-----Original Message-----
From: [email protected]
[mailto:[email protected]] On Behalf Of David Knepper
Sent: Tuesday, January 14, 2003 7:02 AM
To: [email protected]
Subject: [Collins] Poll

Before proceeding to reproduce the larger winged emblem that is used on
the 75A-4, etc. and the winged emblem on the KWS-1, the 270G-1 speaker,
S-Line weighted knob would you email me back the form below.

Instructions:  Fill in the number of items that you would wish and what
you would be willing to pay.

Quantity                Reproduction Item
Suggested Price

                            75A-4  Winged Emblem

                            KWS-1 Winged Emblem

                            270G-1 Speaker

                            Weighted Spinner Knob

Also please indicate what other Collins items,  you would like to see
reproduced by Advanced Optics Ltd.  If you unfamiliar with their product
line, go to the CRA website and click on the scolling line on the left
side of the homepage.

We should be able to have these items available by Dayton or sooner.

Thank you.

David Knepper - W3ST
Secretary to the Collins Radio Association (CRA)
Publisher of the Collins Journal
www.collinsra.com
CRA station call - W3CRA

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