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Old 26-03-2012, 12:58 PM   #73
MAD
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Join Date: Dec 2004
Location: Melbourne
Posts: 4,527
Default Re: $A=$US - Are we getting ripped off?

That same part would probably be sold to the company at a cheaper rate than the average Joe could get it.

Points to make profit..
1) wholesale pricing
2) reduced shipping costs due to larger order.
3) reasonable markup

Things to pay extra for:
1) Face-to-face service
2) warranty (cost of freight back to exporter? What's a reasonable expected failure rate? 1/100, 1/1000?. Or would it be better to price in covering it yourself without doing your own returns? Eg. $500 extractors, expected failure rate of 1/100, covering cost $505)
3) shop rent (Paid for by every item they carry, not just 10 sets of extractors)
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