On Sun, 2 Jun 2002, Jinx wrote:

>> I don't want to use bad language...but think what I thought
>>  about Makita when they ask for this outrageous price....
>
>Perhaps it's like that deal with printers - you can get a
>very reasonable printer for good $$$, but they get you
>on the ink cartridges (and especially now that cartridges
>have built-in smarts that defeat refilling). Maybe it's just as
>simple as economy of scale, although you'd have to wonder
>about the profit margin on a $49.95 drill. I did pick up some
>at a local builder's merchants when they had a sale, which
>I have to say is against my normal practise of buying the best
>tools I can afford - but $50 vs $250 is very very tempting

If the drill is manufactured and assembled in a certain country the profit
may be some 30% for the reseller, 30% for the importer and the rest to the
manufacturer, as the production cost (including materials and packing and
inland shipping) is in the $10 range (at most).

Peter

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