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12-21-2009, 07:05 PM | #41 |
Crimson Guard
Join Date: Feb 2009
Location: texas
Posts: 1,373
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I can not speak for the retailers but on the manufacturers I can speak for what we did. Before a line ever went off to production all costs were factored in first. Wages, shipping cost, storage everything was always factored in. Then we took our figures and shop the line around to the factories.
They in turn did the same thing. Also each side padded those numbers for there profit margins. If we found someone we could work with the line went into production. As for retailers well if someone is buying product without knowing all the costs or if they can afford it yet that's just silly. They will go under if the keep that up. |
12-21-2009, 07:10 PM | #42 |
Crimson Guard
Join Date: Feb 2009
Location: texas
Posts: 1,373
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Also not trying to get into it with anyone but the momentary reduction of a price to clear out inventory is the definition of a sale. Really it is, please check it out.
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12-21-2009, 07:30 PM | #43 |
Baronesslover
Join Date: Aug 2008
Location: CT,USA
Posts: 1,810
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Quote:
So that 267 has to cover:
Part of the 1500 tooling expense Part of the 700 dollar freight Part of the employee's salaries Part of employee's health insurance costs Part of the employee workman's compensation insurance (which yes, does come out of that, so if you know anyone milking workman's comp, you're paying for it) Part of the company's 401k match Part of the cost of operations of the company (utility bill, building maintenance and/or rent, cleaning company) Part of the company's advertisement Part of the packaging cost for that gear Part of the storage cost for stocking that part before sending it to the client Part of the overall company profit Part of the theft insurance Part of the company overhead (computer maintenance, buying printer paper and printer inks, buying pens, buying pads of paper) Part of the company slush fund (for rainy days, translation: when times are slow and not much revenue being generated) Part of the company's sales teams (which are usually non-revenue generating, most companys, the people that go out and sell the company and the products, the commissins they make, where do you think they come from?) That's all off the top of my head, I'm sure there's more. |
12-21-2009, 07:38 PM | #44 |
Sith Lord
Join Date: Aug 2008
Location: Everett, WA
Posts: 369
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It sort of makes sense that Hasbro would pad the price of their toys like this. Anyone can do a quick search on eBay and see that tons of idiots are paying on average $8-$10 for figures. Why shouldn't Hasbro think they can get away with doing this too? Regardless of how much each figure costs them to make...
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12-21-2009, 07:43 PM | #45 |
Baronesslover
Join Date: Aug 2008
Location: CT,USA
Posts: 1,810
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I don't mind Hasbro marking up the item, my point is that the people in the factories and even Hasbro don't really see that much of the profits, the big retailers mark them 300-400% after that.
( not just joes, almost everything) Its like the record industry, CDs sell for 10-18 dollars but the musicians make less than a dollar ( without touring and radio play they would be on welfare). |
12-21-2009, 07:52 PM | #46 |
#voteblackjack
Join Date: Sep 2008
Location: Northwood, NH
Posts: 35,754
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Quote:
People know that the company is making a profit, but that doesn't change the fact that they agree to pay the price because, to them, it's not that absurd or too expensive. They, and it's a decision each person makes, think it's an okay price. I won't pay the $8.50 for MU figures, even though I want them, because I think that's too much for what they are and what they come with. It's obvious that people won't pay any price, it's been said in many threads on the 'Tank that people have a limit to how much THEY think Joe is worth. People ask the questions they want to ask, and worry about the things they worry about. If they thought 8 bucks was too much, they wouldn't buy. It's as simple as that. No conspiracy theory, no ignorance on anyone's parts, no questions that need to be asked. People will pay what they feel is a good price. End of story. And I wouldn't say people were more careful with their money once upon a time, not at all. Same principals apply now that apply then. We look back and think things were cheaper, but people didn't make as much money back then as they do now. Look at the minimum wage, it's gone up consistently over time because things get more expensive, so in order to afford them, people need more money. And I'm sorry, but it's not a greedy pig price. Companies don't just pick a number and say "go with it". They work it out. They adjust it. They do market research. They know what the minimum they have to charge is, to cover all their expenses and they have an idea what the maximum is they could charge and still sell enough product to break even. Then they go from there and work out a "greedy pig price". I detect a certain tone of "anti-corporation" in your posts. I also forgot to factor in probably one of the biggest money-losses in a company (something that doesn't generate revenue, but is essential and costs alot of money) and that is design. It costs money to design that gear, to produce the shop drawings, to revise the shop drawings, to work out the prototype, to test the prototype, to get all the required code compliances and checks and balances and all that good stuff.
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12-21-2009, 07:56 PM | #47 |
#voteblackjack
Join Date: Sep 2008
Location: Northwood, NH
Posts: 35,754
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Quote:
Hasbro will sell to the retailer for a price that covers all their expenses, pays all their employees and provides the company a nice profit.
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12-21-2009, 07:58 PM | #48 |
Banned
Join Date: May 2008
Location: On break
Posts: 4,659
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What he said X2.
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12-21-2009, 07:59 PM | #49 |
Cobra Soldier
Join Date: Apr 2009
Location: indianapolis indiana
Posts: 90
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I agree with all of you your all right. What makes me upset is if I am going to be taken advantage of listen to us and make some of the things we want. A Terror Drome - Flagg - some big playsets
come on Hasbro try it we both like it |
12-21-2009, 08:01 PM | #50 |
#voteblackjack
Join Date: Sep 2008
Location: Northwood, NH
Posts: 35,754
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Quote:
How are you being taken advantage of?
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