Originally Posted By moparx
back around 1970 or so, i was told by the manager of the best parts store in town [there was six or seven at that time] there was 100% mark up at every step of the part [every part] transmission from the manufacture to the selling store. so, for example, if you bought a part for $10.00, the total mark up, at 100% for every stop made at various warehouses and distribution points, means that particular part was only [possibly] pennies to make. i don't know if that is true today, but i think it may be pretty close.
beer


On certain items that is true..
However in certain product categories such as flat panel HD video displays it is not... Manufacturing in China especially for certain consumer electronics stuff, the factories use a high degree of automation/robotics and pricing is very tight. However what many people may not realize is that for products such as flat panel displays the retail pricing in domestic China markets may be be 20-40% higher than the USA.. eek

Basically the Chinese consumer electronic factories run on quantity unit volume as to get the lowest component prices, 80% may be exported @ breakeven but the biggest profit is for sales within China..

Just my $0.02... wink