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Re: Chinese junk

To: Trevor Boicey <tboicey@brit.ca>
Subject: Re: Chinese junk
From: b-evans@ix.netcom.com
Date: Thu, 02 Jul 1998 18:31:02 -0700
Cc: Daniel Thompson <dthompson@gbc.ca>, "'Frank Clarici'" <spritenut@Exit109.com>, "'spridgets@autox.team.net'" <spridgets@Autox.Team.Net>
References: <01BDA59B.EE5C9240@dtx231> <359BA9F0.33958F3C@ix.netcom.com> <359BBBAB.63515A96@brit.ca>
Reply-to: b-evans@ix.netcom.com
Sender: owner-spridgets@Autox.Team.Net
> Quality costs. Would you rather the only repro of a bugeye
> grill costs $2500?

Now, now, I think that even you would have to agree that your hyperbole
is just a little bit extreme.  You know, and I know that Asia can and
does manufacture quality products.  And they do it as rock bottom
prices.  In dealing with Asia, you are dealing with minimal
manufacturing costs.  The cost comes AFTER the manufacturing process,
and those costs would remain the same.  There would be no increase in
shipping, duties, packaging, marketing, and margin, the  biggest factors
in pricing end-product pricing.  An improvement in quality control and
end-product quality would not be a herculean effort, and would make the
consumer price prohibitive.

If "quality costs", how can one explain the fact that I can get better
quality at lower cost from England?


> It's not unreasonable, as the cost to produce
> rises the end cost rises which cuts into sales, and the unit
> cost rises from the low production.

Sorry, but it doesn't necessarily work that way.  Again, production
costs are minimal when compared to the other cost factors that would
remain stable.  Shipping costs remain the same.  Packaging remains the
same.  Shipping remains the same.  Because China and other Asian
countries are "most favored nation" trading partners, the dutie are
negligible.  Marketing remains the same.  The manufacture of the part
itself is but one small part of the sum.  Improvement of quality would
result in a minimal difference in cost.


>   Nobody is stopping you from starting a production line. If
> the economics are so simple, you'll have a fleet of LBCs
> in no time, right?

Now that is beyond hyperbole!

The bottom line is the those who issue purchase orders have to care
enough about their customers to demand quality.

Bob Evans
Anaheim, California
Frogeyes AN 5L/762,  AN 5L/26893



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