Newton said:
The reason for my probably offending post is this: A Super Gold Crown IV pool table costs in my country $15000. If this is produced in Asia, something tells me that someone is making a shameful amount of money, and it's not because the labor in Asia is so expensive...
JMHO
N
A Gold Crown V costs about $8000 retail in the USA. Who do you think is responsible for the double cost in the Europe? Do you think that perhaps Brunswick is charging twice as much because the tables are going to Europe?
No, it's the importers, your fellow countrymen who are charging so much because they know you can't buy a Brunswick table from a choice of vendors within a reasonable physical distance.
This reminds me of when I first went to Germany in the early 90's. When I got there I found that Meucci's and McDermotts, you know, those great cues from the 80's?, were selling for double their US retail prices.
I convinced my friend Andy Sattler to invest in Tim Scruggs cues and he became one of the best known sellers of custom cues in Germany. As a result of the high prices of production cues it opened the door for the introduction of both custom cues and for less expensive imports.
The fact that a Gold Crown costs $15,000 in your country has nothing to do with where the production is done and what it costs to produce the table. It has everything to do with supply and demand. And since the price appears to be inflated because the supply is limited it opens the door for other brands to come in.
I would say if you want a Gold Crown then buy one from the USA and pay to have it shipped to Norway. You will probably save $4000.
Or, conversely, you could start importing tables with the same level of quality with a much lower price point and provide those to your fellow Norwegians. Thus allowing them to enjoy pool and become lifelong players and consumers of pool equipment.
Back to Adam Smith - the "invisible hand" that guides the marketplace dictates that with competition the quality steadily goes up as the price goes down.
This is because consumers vote with their money and that vote goes to the vendors who provide the best balance of good quality and low price.
So vendors are forced to continue to improve in order to stay in business supplying the product chain.
I am tired of hearing how the "quality" of import cues sucks.
Prove it.
Somebody stop talking about it and just prove it conclusively.
You know what? I don't think that anyone can.
Here is why?
Cues made by Kao Kao and Taican in China do not suck.
In side by side comparisons over a large selection, the cues of today built in the above two factories have the same features and are built in the same way as cues made in the United States.
Of course each cuemaker has their particular methods that they find to be the best. And each player has their particular tastes which not every cue can satisfy.
But on a purely apples to apples comparison, the apples from the good Chinese cue companies are on average nearly as good as the apples from the USA. And this statement would bear out in ANY impartial Consumer Reports style comparison.
In truth, cues are very good these days and the average price of a good cue is very low.
As to what the price of a cue "should" be..... it should be whatever the market will bear. If Predator can make a $5 cue and charge $800 for it and the consumer is happy with their purchase then that's great for Predator. Who cares? What do you think happens with the $795 profit? It gets spent on other things and provides jobs and economic stimulation elsewhere.
IF the quality is there and the customer is happy then where is the problem? You make it sound like people are painting bamboo sticks and passing them off as Balabushkas. This is not the case at all.
I give up.
I get so tired of people coming on here and acting as if it's all so simple. They condemn people who produce in Asia and want to examine the costs to the last penny to assess how much "profit" the producers are making and then on the same hand will pay $1500 for a cue that didn't cost much more to produce in the USA. And this without asking the cuemaker to open their books in order to police the profit made.
My gross profit on the cases I have sold in the last six months is $4000.
Gross profit is the amount left over when the production cost of the goods is deducted from the revenue.
My net profit from the cases is zero because all the gross profit went to purchase more machines, more leather, more supplies which in turn fuel the economy. In fact I have invested much more than $4000 into this venture so at this point I am still in the negative. But I have a lot of leather, d-rings, and several sewing machines - and none of it will buy me a pint of milk.
Profit is what allows people to do more than just exist. Profit is what keeps you employed. Profit is what fuels innovation. Without the financial support that comes from profits then research and development cannot be funded.
Why do I bother?
I don't know. I guess it's far easier for people to rant about things that they have no experience in rather than to dig deeper to find out the complex issues that surround life on the globe.
You could probably care less that I can't buy good cheese in the town I live in China. You could probably care less that a lot of the little luxuries you enjoy and easy access to most things are not available to me here. What does this have to do with anything? It's simple. Profit fuels your lifestyle. Without profit you would be living in a hovel and milking your one scrawny goat.
On one hand you want to enjoy the lifestyle you have and one the other you complain about the prices of that lifestyle.
Rant over.