NYC XYZ said:
Hmm! So how much does it really cost, at least in materials only, to
build the "typical" 'bent? Or any given 'bent, really, then...I mean,
these things sell for $$$$, but it sounds like they probably only cost
a few hundred in materials?
Just curious -- I'm happy paying for service and peace of mind, believe
you me!
Believe you me- I'm the *last* person you should ask about money! I
lived my life out of a checkbook until I turned over my finances to my
wife. She gives me an allowance. :-)
There's probably the same amount of raw material in a $500 Sun EZ-1 as
in a $2900 HP Velotechnik Street Machine. The difference comes in
economies of scale- as a WAG, I'd say that there's 100 times as many
EZ-1's built as there are Street Machines. This affects the price of
*everything* throughout the supply chain- from purchasing of materials,
ease of manufacture, marketing, after-sale service, etc. What you
*should get* for the extra money is *superior quality* throughout- in
fabrication, in personal contact with the builder, in careful service
by the dealer.
Or, to put it another way, you could spend the same $2900 on a used
Trek Madone and have a bike that's far lighter than a Street Machine.
It would also look and function exactly like the 10,000 other Trek
Madones out there. If HP Velo could build and sell 10,000 Street
Machines, I'd bet the price would come down to under $1000. If
recumbents were built in the same quantities that GM produces pickup
trucks, they'd sell for $100 each... if that.
In fact, if you want to reduce them to their raw materials (16 pounds
of aluminum, 8 pounds of steel), the typical recumbent should only cost
you $17. The difference in price comes in the labor necessary to change
that chunk of ore into a bicycle.
(Commodity prices at
http://siteresources.worldbank.org/INTPROSPECTS/Resources/Pnk_0306.pdf)
So- what was the question again?
Jeff