Re: Re: Dealer prices

Posted by JoeG, lets do some math shall we?? on August 06, 2002 at 12:58:34 from (208.22.189.127):

In Reply to: Re: Dealer prices posted by Deano on August 06, 2002 at 11:34:28:

I'm guessing that is directed at me so I will respond to you Deano, I never said that I would make anyone any parts, I said that I am capable of doing so and could produce 12 an hour with great ease. If you wish to pay me my $25/hour shop rate, you can have these very same parts for about $2.08 each, 3/4" inch square, 1/2" hole centered, deburred edges and a guarantee to perform as original. I do custom work for anyone who will pay for it, fair, reasonable, and yes, I will make one or a hundred for anyone who asks.

I have a solid background in machining and manufacturing as well as quoting and costing and I can tell you that Geoff is right on with what it actually costs to make those parts in quantity on a punch press. I'd be surprised it it took more than 1/2 second each, at that rate a machine can make 120 a minute, figuring a 1/16" thickness, and not taking into account they can scrap all the slugs punched from the center to recover costs, there would be about 28 pieces per pound of steel, new steel per pound isn't anywhere near a buck a pound so lets say a buck a pound that is $.035 per part, if the machine coast $100/hr to own and operate, then you have a cost of $.0138 per part, add them up and you ghave a cost of a bout a nickel a piece, and those are very liberal figures since steel is cheaper than a buck a pound bought in quantity, punch presses do not cost $100/hr to own and operate so the cost is probably closer to a penny each, bottom line is IH is making a very healthy profit on this part, if you don't see that I am sorry I cannot help ya. I mean no offense, but it would obviously be harder to get parts for a tractor made by a defunct company, and as Geoff points out this is a common part to many different engines so the demand is there, just bean counters setting the scale again and yes, gouging the little guys. There, I will toss my soapbox aside, sorry if I offended anyone.

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• Re: Re: Re: Dealer prices deano 09:04:47 08/07/02 (0)

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