Quote:
Originally Posted by mARC
Simple economics, its more advantageous to sell less product at an increased price then more for a reduced price.
Less overhead more profit.
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What economics did you fail?
Its about achieving the right sales volume, market exclusivity and profit margin.
If you sell 1 unit at $500 profit, it's a lot better to sell 10 units at $100 profit. Esp given you have invested in the tooling to manufacture the 1 item. The big question is if you lower the price can you keep selling or will you saturate the market?
Regardless, they are still making profit on the cars they sell overseas, so what they do here is just take the piss.