Vetteman94 said:
Alby_da_Wolf said:
RageBot said: But if the slim's production cost is 252$, and they sell it at 300$, how do they lose money? |
It depends on how that $252 is calculated: the old estimates we saw in the past, like the ~$450 in October 2008 included warehousing, shipping and retailer profit, if the current $252 includes only production and, maybe, warehousing and shipping, you must take into account that retailers will want a bigger than $48 profit on a $300 retail price, so Sony would initially lose some tens $ per unit. Obviously, when production is at full capacity, Slim will give more savings than the normal evolution of Fat production.
|
Actually I have heard, from members of this website, the retail markup is only about 5-10%. So it would still make Sony money, but that is if it includes the warehousing and shipping and packaging and such.
|
I'm puzzled: stores that sell a lot of games too may find a markup so low acceptable, but appliances stores selling mainly HW won't find it appealing, while for assembled computers retailers' margin is quite low (but they recover on peripherals), for consumer electronics it's usually quite high. Oh, suddenly it springs to my mind that I'm in EU, and strong Euro united to "creative" exchange rate applied by traders (the parity applied isn't justified by VAT, it largely exceeds it) automatically gives them an higher margin than in more competitive markets like USA.
Stwike him, Centuwion. Stwike him vewy wuffly! (Pontius Pilate, "Life of Brian")
A fart without stink is like a sky without stars.
TGS, Third Grade Shooter: brand new genre invented by Kevin Butler exclusively for Natal WiiToo Kinect. PEW! PEW-PEW-PEW!

