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How do they make profit? #3072118
08/28/22 04:48 PM
08/28/22 04:48 PM
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Central Florida
larrymopar360 Offline OP
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I know this has to be cheap junk but how can they sell and ship from China 6.5 feet of this for $7.50?!

https://www.ebay.com/itm/144539429993?

s-l1600 (1).jpg

Facts are stubborn things.
Re: How do they make profit? [Re: larrymopar360] #3072142
08/28/22 06:28 PM
08/28/22 06:28 PM
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Stanton Offline
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'cause it already came from China in bulk with a ton of other sh!t ! Read the ad ... "Located in: Rowland Heights, California, United States"

Re: How do they make profit? [Re: larrymopar360] #3072178
08/28/22 08:03 PM
08/28/22 08:03 PM
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The truth might get this moved to the Political forum.

China can make stuff insanely cheap. Everything is stacked on their side.

Cheap Labor,
Little or no overhead like workers comp, retirement, healthcare.
No worker rights, long hours and unsafe working conditions the norm.
No unions to protect the workers
No EPA to drive up production costs with regulations.
etc.
etc.

Basically China is working like America did in the 1800's but selling in a modern market.

Re: How do they make profit? [Re: IMGTX] #3072181
08/28/22 08:17 PM
08/28/22 08:17 PM
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16 years ago we wanted to make some mandrel bent boost pipes. So T304 stainless pipe, 3 mandrel bends, a cut, then a tig welded section for a boost controller and a flange to bolt to throttle body. You get the idea. We found out china would make the whole thing for less than we could buy the straight section of 304 pipe for!

Re: How do they make profit? [Re: larrymopar360] #3072198
08/28/22 08:41 PM
08/28/22 08:41 PM
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Originally Posted by larrymopar360
I know this has to be cheap junk but how can they sell and ship from China 6.5 feet of this for $7.50?!



Cause China still has that stupid agreement with the USPS to deliver that crap after it shows up on our shores.
They (USPS) probably makes next to nothing with handling/delivery & the rear of us gets zapped with domestic increases.

Re: How do they make profit? [Re: PhillyRag] #3072199
08/28/22 08:45 PM
08/28/22 08:45 PM
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Put a mopar logo on it and its a $300 part. Not exactly but plastic trim, ect, Many things im using on a newer mopar project are made there and copies are sold for next to nothing but add mopar to the mix and boom its to the moon.

Some of the mopar stuff actually says "Made in China".


STOP POTATO HATE!
Re: How do they make profit? [Re: Mr PotatoHead] #3072205
08/28/22 09:00 PM
08/28/22 09:00 PM
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They've been doing that for so long with so many things that a small % is worthwhile to them.
Like banks: 1-2% of billions of dollars is a lot of money.
I'd bet the American Dollar goes a lot farther in China than it does here, too.

Re: How do they make profit? [Re: topside] #3072214
08/28/22 09:25 PM
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Making a profit isn't the goal, running us out of manufacturing ability is.

Re: How do they make profit? [Re: Sniper] #3072223
08/28/22 09:48 PM
08/28/22 09:48 PM
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Originally Posted by Sniper
Making a profit isn't the goal, running us out of manufacturing ability is.


Mission accomplished.


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as long as you look good doing it!

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Re: How do they make profit? [Re: Mr PotatoHead] #3072267
08/29/22 06:32 AM
08/29/22 06:32 AM
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Originally Posted by Mr PotatoHead
Put a mopar logo on it and its a $300 part. Not exactly but plastic trim, ect, Many things im using on a newer mopar project are made there and copies are sold for next to nothing but add mopar to the mix and boom its to the moon.

Some of the mopar stuff actually says "Made in China".


Some?


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Re: How do they make profit? [Re: Dart 500] #3072358
08/29/22 12:51 PM
08/29/22 12:51 PM
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Looking for a way out of Middl...
IMGTX Offline
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Originally Posted by Dart 500
16 years ago we wanted to make some mandrel bent boost pipes. So T304 stainless pipe, 3 mandrel bends, a cut, then a tig welded section for a boost controller and a flange to bolt to throttle body. You get the idea. We found out china would make the whole thing for less than we could buy the straight section of 304 pipe for!



I doubt you can buy much metal that doesn't come from China these days. A lot of our steel mills are down never to return.

The companies over there probably get super cheap prices because they are selling company to company and no shipping between companies.

Or they are doing what Ford did when he started the model T. The whole car was made by Ford. Castings, Stamped metal, upholstery, etc. all by Ford. I think the only thing they didn't make was the tires, light bulbs, and possibly the wires in the wiring. GM used to make it's own wiring. GM's Packard division made wiring.

In an effort to create a company that can show imaginary/paper profits to keep investors happy, American companies will lease instead of buy and sub contract instead of making it themselves. It's a bad business model for long term stability & growth in my opinion. Samsung started by making 1 part of their TV's now they make about 98% of them. Grew like gangbusters over the years and not subject to another companies price gouging for a valuable part.

Beside the Chinese probably up charge raw material if it is shipped here because they have to make money and don't want us manufacturing them out of business.

Re: How do they make profit? [Re: IMGTX] #3072416
08/29/22 03:31 PM
08/29/22 03:31 PM
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So Cal
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It's extruded foam.

Its comes out of the machine like pasta or Play-Doh.

Pasta which is made in the USA and might have a higher material cost than that foam.

The operation to add the double sided tape might be a little trick. But it's all continuous feed automated.

,,. It's not real expensive to make.

[Linked Image]

[Linked Image]

Last edited by autoxcuda; 08/29/22 08:57 PM.
Re: How do they make profit? [Re: Stanton] #3072444
08/29/22 06:02 PM
08/29/22 06:02 PM
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Central Florida
larrymopar360 Offline OP
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Originally Posted by Stanton
'cause it already came from China in bulk with a ton of other sh!t ! Read the ad ... "Located in: Rowland Heights, California, United States"
I swear this got changed! It was in China!!!! It also had it written in English and Chinese.


Facts are stubborn things.
Re: How do they make profit? [Re: larrymopar360] #3072478
08/29/22 08:32 PM
08/29/22 08:32 PM
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Originally Posted by larrymopar360
Originally Posted by Stanton
'cause it already came from China in bulk with a ton of other sh!t ! Read the ad ... "Located in: Rowland Heights, California, United States"
I swear this got changed! It was in China!!!! It also had it written in English and Chinese.


Click on the feedback tab & CHINA is shown as seller.

Re: How do they make profit? [Re: larrymopar360] #3072479
08/29/22 08:43 PM
08/29/22 08:43 PM
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Posts: 27,467
So Cal
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Originally Posted by larrymopar360
Originally Posted by Stanton
'cause it already came from China in bulk with a ton of other sh!t ! Read the ad ... "Located in: Rowland Heights, California, United States"
I swear this got changed! It was in China!!!! It also had it written in English and Chinese.


They've got to put it somewhere when it comes off the boat.

For reference, here's a Google Street View of both sides of a random large street in Rowland Heights...


2022-08-29_17-38-22.jpg2022-08-29_17-41-49.jpg
Last edited by autoxcuda; 08/29/22 08:48 PM.
Re: How do they make profit? [Re: autoxcuda] #3072488
08/29/22 09:28 PM
08/29/22 09:28 PM
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in a cattle trailer down by th...
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Thanks, now I want Chinese food and there is only one place, 35 miles away. I guess raman noodles will have to do.


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Re: How do they make profit? [Re: Guitar Jones] #3072505
08/29/22 10:31 PM
08/29/22 10:31 PM
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So Cal
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Originally Posted by Guitar Jones
Thanks, now I want Chinese food and there is only one place, 35 miles away. I guess raman noodles will have to do.


grin

Salted Duck or LA Hot Duck ?

Re: How do they make profit? [Re: IMGTX] #3072517
08/30/22 12:02 AM
08/30/22 12:02 AM
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So Cal
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Originally Posted by IMGTX
Originally Posted by Dart 500
16 years ago we wanted to make some mandrel bent boost pipes. So T304 stainless pipe, 3 mandrel bends, a cut, then a tig welded section for a boost controller and a flange to bolt to throttle body. You get the idea. We found out china would make the whole thing for less than we could buy the straight section of 304 pipe for!



I doubt you can buy much metal that doesn't come from China these days. A lot of our steel mills are down never to return.

The companies over there probably get super cheap prices because they are selling company to company and no shipping between companies.

Or they are doing what Ford did when he started the model T. The whole car was made by Ford. Castings, Stamped metal, upholstery, etc. all by Ford. I think the only thing they didn't make was the tires, light bulbs, and possibly the wires in the wiring. GM used to make it's own wiring. GM's Packard division made wiring.

In an effort to create a company that can show imaginary/paper profits to keep investors happy, American companies will lease instead of buy and sub contract instead of making it themselves. It's a bad business model for long term stability & growth in my opinion. Samsung started by making 1 part of their TV's now they make about 98% of them. Grew like gangbusters over the years and not subject to another companies price gouging for a valuable part.

Beside the Chinese probably up charge raw material if it is shipped here because they have to make money and don't want us manufacturing them out of business.



There are many reasons why stuff produced in China is cheaper including:
* Non-Existent environmental restrictions
* Abundant workforce supply
* Wage structure is low, increasing but still low compared to western economies
* Certain new business startups can get special financing for new factory buildings, automation and machinery
* New businesses often get special priorities

But now economic conditions in China are getting tougher with the decrease in the global economy, and certain major industries are moving out of China to Vietnam, Indonesia, and Philipines. China continues to supply certain key components but now the assembly and final mass production is frequently done outside of China. As China tries to move up the ladder designing/building higher $$ ticket industrial and consumer products. I have traveled to China @least 30 times over the last 15 years, developing/sourcing products and negotiating significant purchases by major business brands/clients, the total of many of these purchases are in the high multi-million $$... Without an on-site local, experienced, sourcing QA team, there are no guarantees about final product quality.

Just my $0.02... wink

Re: How do they make profit? [Re: Sinitro] #3072519
08/30/22 12:45 AM
08/30/22 12:45 AM
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When’s the last time you saw “made in Japan” ?

Re: How do they make profit? [Re: J_BODY] #3072598
08/30/22 01:22 PM
08/30/22 01:22 PM
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Originally Posted by J_BODY
When’s the last time you saw “made in Japan” ?

I had to comment, interestingly enough I had a not too long ago purchased and rarely used made in China Ingersol rand 3/8 Drive air ratchet take a dump. So I called them even though it was way out of the warranty period.
The tech instructed me to take it apart and send in pictures. OK. He responds with there is very little grease in the gear case and that likely led to the failure. I said the unit was never greased as it had less that 4 hours total use and there were no filings present, just teeth fractured at the root. He sent me a repair kit free of charge.
Where I'm going with this is my backup was / is a 35+ year old J.I.T. air ratchet made in Japan that has been abused but never greaser and rarely oiled spank But it works perfectly as do many other made in Japan tools ii have from that era.
However my recent experiences with recently purchased made in Japan products have left me wondering if they are going the way we did in the late 70's early 80's. IE: their quality is beginning to slip. And I wouldn't be a bit surprised to see China, Taiwan or another take the lead on quality at reasonable pricing twocents

Re: How do they make profit? [Re: Sinitro] #3072618
08/30/22 02:10 PM
08/30/22 02:10 PM
Joined: Jan 2003
Posts: 21,507
N.E. OHIO, USA
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Originally Posted by Sinitro
Originally Posted by IMGTX
Originally Posted by Dart 500
16 years ago we wanted to make some mandrel bent boost pipes. So T304 stainless pipe, 3 mandrel bends, a cut, then a tig welded section for a boost controller and a flange to bolt to throttle body. You get the idea. We found out china would make the whole thing for less than we could buy the straight section of 304 pipe for!



I doubt you can buy much metal that doesn't come from China these days. A lot of our steel mills are down never to return.

The companies over there probably get super cheap prices because they are selling company to company and no shipping between companies.

Or they are doing what Ford did when he started the model T. The whole car was made by Ford. Castings, Stamped metal, upholstery, etc. all by Ford. I think the only thing they didn't make was the tires, light bulbs, and possibly the wires in the wiring. GM used to make it's own wiring. GM's Packard division made wiring.

In an effort to create a company that can show imaginary/paper profits to keep investors happy, American companies will lease instead of buy and sub contract instead of making it themselves. It's a bad business model for long term stability & growth in my opinion. Samsung started by making 1 part of their TV's now they make about 98% of them. Grew like gangbusters over the years and not subject to another companies price gouging for a valuable part.

Beside the Chinese probably up charge raw material if it is shipped here because they have to make money and don't want us manufacturing them out of business.



There are many reasons why stuff produced in China is cheaper including:
* Non-Existent environmental restrictions
* Abundant workforce supply
* Wage structure is low, increasing but still low compared to western economies
* Certain new business startups can get special financing for new factory buildings, automation and machinery
* New businesses often get special priorities

But now economic conditions in China are getting tougher with the decrease in the global economy, and certain major industries are moving out of China to Vietnam, Indonesia, and Philipines. China continues to supply certain key components but now the assembly and final mass production is frequently done outside of China. As China tries to move up the ladder designing/building higher $$ ticket industrial and consumer products. I have traveled to China @least 30 times over the last 15 years, developing/sourcing products and negotiating significant purchases by major business brands/clients, the total of many of these purchases are in the high multi-million $$... Without an on-site local, experienced, sourcing QA team, there are no guarantees about final product quality.

Just my $0.02... wink



Cheap LABOR force is the key to it all now, Look at even the Euro major manufactures where they have gone to assemble and make product........wherever the world's cheapest labor force is.

Re: How do they make profit? [Re: larrymopar360] #3072704
08/30/22 05:12 PM
08/30/22 05:12 PM
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Albany, NY
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Competition drives manufactures to always seek ways to supply products cheaper.
Customers are attracted to cheaper goods.

If you enact policies that change those two driving forces, you can affect the market.


How do they make a profit?
- Because we buy their products.

Why do we buy their products?
- Because they are cheaper than American made.

Why do we buy cheaper products? Are they not a much lesser quality?
- This question has multifaceted, complicated answers. Ask a group of different people and you'll probably get a variety of answers.

- Because our real wages have not kept up with the costs of living in America.
- Because the incentive to Buy American isn't as strong as the incentive to save money and buy more Chinese crap.
- Because corporate America maximizes their shareholder value over the value of offering employees a living wage.
- Because shareholders demand corporations make profits on their investments instead of demanding a corporation pays a wage that offers a quality of life for American employees.
.. and on and on..

However, the trend and market impact of buyers switching to the cheaper goods is nothing new -
.. it happens within our own borders: Once US industrialization took hold from the mid-1800s, local manufacturing of consumer goods like furniture, textiles, clothes, were out-competed by large manufactures and sellers like Sears, Westinghouse, GE, etc. because they were cheaper. Think of that example on a global scale. Instead of small manufacturing being replaced by a factory in a different state, it is a large US manufacturer being replaced by a giant plant in China. But first - remember what happened after WW2? Japan was rebuilt with US funding, and their manufacturers and engineers hit the ground running, exporting cheaper consumer goods to the Good ol' US of A. You can look up newspaper articles of Americans protesting the avalanche of Made in Japan products of the modern age; Radios, TVs', Stereos, and on to cars of course. Japan grew a large middle class with more affluence, more education, demanding higher wages, and their manufacturing sector moved up to upscale goods. That left the bottom of the consumer product market to a less-costly, lower-wage newcomer like China. China was a closed society under Mao, but have opened to the West for trade and revenue purposes.

As someone mentioned above, China is already seeing wage increases and an emerging middle-class, especially in the tech industries and cosmopolitan areas like Shanghai.

Must we fear China's economic and manufacturing power?
- I suggest the answer is yes and no. China has been a source of cheap knock-off goods for a very long time. There was a scandalous incident where the Chinese got hold of the latest fashion in silk dresses from a Spanish source. The Chinese made a load of cheap silk knock-offs and sold them to Spanish suppliers who no longer bought them from Spanish dress-makers. Spain had to enact import restrictions to save their domestic dress makers.

That happened in the late 1400s.

We should not fear the Chinese because China is STILL copying Western products and technologies, over 500 years later.
We should fear Chinese industrial espionage and theft of intellectual property.

Enough said for now, it's time to take my son to practice,
Be good and Buy American,
- Art


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Re: How do they make profit? [Re: topside] #3072818
08/31/22 07:34 AM
08/31/22 07:34 AM
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Originally Posted by topside
They've been doing that for so long with so many things that a small % is worthwhile to them.
Like banks: 1-2% of billions of dollars is a lot of money.
I'd bet the American Dollar goes a lot farther in China than it does here, too.


You don’t have to bet on that. China sets the exchange rate below what a free market would and that’s what you have to play by. Artificially devalued against the dollar.


I want my fair share
Re: How do they make profit? [Re: larrymopar360] #3073050
08/31/22 09:02 PM
08/31/22 09:02 PM
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If they made 25cents total on that sale they'd be happy, being so penny-pitching minded.

Re: How do they make profit? [Re: PhillyRag] #3073740
09/03/22 04:46 AM
09/03/22 04:46 AM
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Man everytime I step in this forum it's like going back 5-10 years ago. China is done folks, it's been done for a few years now, if you're in the know, you'd know that companies have been pulling their manufacturing and moving to cheaper markets like Vietnam etc (as was mentioned earlier in this thread). And that was before all the supply chain issues these past few years, even more are pulling manufacturing back here. China hasn't been super cheap like it has been for at least 4-5 years now, add COVID, supply chain issues, world politics turning against them and a currently collapsing financial market due to the largest housing bubble the world has ever seen popping and soon you be seeing alot less of "made in China".

Re: How do they make profit? [Re: CokeBottleKid] #3073754
09/03/22 08:13 AM
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Why are you looking on ebay is the question? They should change those ebay commercials to "Ebay motors, Everything that's made in china!"

Re: How do they make profit? [Re: larrymopar360] #3073794
09/03/22 10:49 AM
09/03/22 10:49 AM
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They are a communist country. The state own all aspects of production. They can undercut pricing in some areas and make it up with volume in other areas to ensure they become a globally preferred supplier. Once they corner a market, prices will rise.

Re: How do they make profit? [Re: TC@HP2] #3073914
09/03/22 03:29 PM
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as much as i really hate to say this, the last swap meet i went to, there was this guy that was selling used tools. [of course there was. biggrin]
while browsing through his collection, he had some snap-on ratchet box wrenches, as well as some stanley [made in china] versions.
both seemed to be very gently used, and i was astonished at how much smoother the stanley mechanisms felt, compared to the snap-on ones.
the stanley wrenches seemed to also have a closer [shorter ?] degree of movement between teeth.
the bodies of the stanley wrenches were more comfortable in my hands, as well as being polished more than the snap-on wrenches.
as to the long term use between the two brands, i don't have a clue. however, at my age, i wouldn't be afraid to use the stanley's, as i don't wrench for a living.
this is just my observation of a certain comparison between like items.
your mileage will vary.
beer

Re: How do they make profit? [Re: moparx] #3074111
09/04/22 07:55 AM
09/04/22 07:55 AM
Joined: Jan 2006
Posts: 8,162
USA
3
360view Offline
Moparts resident spammer
360view  Offline
Moparts resident spammer
3

Joined: Jan 2006
Posts: 8,162
USA
Why in the past 30 years have many items been sold at hard to understand prices?

Well one reason this has happened in the USA, Canada and Australia is
“wise, long view, anticommunist”
family business wealth planning.

A family owning a manufacturing industry in an iffy country will pick trusted family members and send them to Canada, Australia, and to an extent USA and Europe.
The family members will get overseas citizenship and set up a “wholesale warehouse distribution” type company.
The iffy contry company will ship them product “priced to sell quickly” to create overseas profit.
This is a type of “international money transfer” to get wealth out of a country where “rule of constitutional law” hardly exists.
If this unusual “transfer fee” amounts to 10% to 30% of item manufacturing cost, the family in the unsafe country may still consider it “good investment”.

The overseas family members usually are instructed to invest in real estate, gold - but also to make donations to influential politicians who can help with Visas, etc.

If your family still had vivid memories of
“The Great Leap Forward”
or teenage Red Guards throwing people to their deaths off the tops of building,
or what happened to the Kulaks,
you would understand getting around “Capital Export Control Laws” to create safe havens overseas.

Lose some money on paper,
save lives in the real world.


Re: How do they make profit? [Re: Moparite] #3074188
09/04/22 12:47 PM
09/04/22 12:47 PM
Joined: Jan 2011
Posts: 15,855
Central Florida
larrymopar360 Offline OP
Stud Muffin
larrymopar360  Offline OP
Stud Muffin

Joined: Jan 2011
Posts: 15,855
Central Florida
Originally Posted by Moparite
Why are you looking on ebay is the question? They should change those ebay commercials to "Ebay motors, Everything that's made in china!"
Because sometimes I really have no choice. Time, convenience, selection.


Facts are stubborn things.
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