RE: LV2000 demands

> Please see my follow-up. I was making a point about what they said.
> I know
> Time = money. I don't have the time to do a lot of projects like you
> seem
> to. I did not say they were not justified..... I was backing up my
> point
> that they were being less than honest about WHY they were hiking the
> price.
>
Uhhhh... No. How do you know? Psychic Hotline? Example:

First Revision of product:
        $4 parts
        $3 pcb
        $2 overhead
        $2 packaging/docs
        $4 margin
Cost of product = $15

Second Revision of product, didn't get as good of deal on the PCB:
        $4 parts
        $5 pcb
        $2 overhead
        $2 packaging/docs
        $4 margin
Cost of product = $17

Margin stays the same costs went up.

To quote Jeff:
"If we do run another batch, we will probably raise the price a couple
of $s
(seems like every time we get a quote from the PCB manufacturer, they
are a
little bit more expensive)"

Doesn't matter if they held up Mouser and got the parts for free and are
buying that second BMW with the profit-- if the PCB's cost more the
second time, they cost more the second time.

I get wild-ass different prices on PCB's from manufacturer to
manufacturer. If you're doing a small run, a $200-400 setup charge
difference can add big bucks to the per-board price.

I obviously have a different take on this 'cause I'm pretty intimate
with the issues involved both from my projects and my job. I've got
$2980 worth of MultiPac marquees on my computer room floor. If I sell
them *all*, I make about $500. If I only sell half I've got a few
square yards of an expensive new type of floor tile and I'm out $1500.
Similarly, Jeff and Anders are assuming *all* the risk on their project.
They should be entitled to a fair profit-- maybe it'll motivate them to
make some new project that's equally as useful.

-Clay
Received on Thu Nov 12 19:27:47 1998