How to determine fair price levels for asian hifi gear

[Nango]

Wondering if it could be an idea and if there is a more or less "scientific" way to proper approach or determine what the (fair) retail price should be for let's say, an amplifier, DAC, whatever is manufactured in the far east.

We all "suffer" from the bubble going on in headphones and primarily in IEM and otoh do accept prices for such items as they were from western manufacturers or even beyond and more expensive.

I think a first rough approximation could be the ratio you can find on retail mkt s for parts made in the western countries and in far east countries, like headphone pads, for instance. There are certainly other items available which might be more senseful. Any ideas ......?

 

[Vict0r]

The amount you pay should ideally reflect the business ethics of the manufacturer, as well as the quality, performance and enjoyment a product gives you, regardless of where and by whom it's made. Pride of ownership, identity, heritage and marketing play a huge part as well. Take Rolex, for example; Rolex makes a really good $1000 watch, but people gladly pay 10x the reasonable cost of their product.

I've never believed a product should be cheaper just because it's made in China by a Chinese brand. It's all relative to the standards of the Chinese company you're buying a product from. If they pay their workers in pennies, in awful work conditions, then I don't think we should be buying from them in the first place. We do, though. Me too. Often without realizing it, or because we don't want to think about it.

Then again, when a Chinese company raises their prices because they DO value their workers and pay them a fair salary, and when they do value their own product and maintain a high quality using premium parts, we often complain about the item being "too expensive for a Chinese product".

...

Also, I do believe quite a few Western brands charge too much for their rebranded OEM products that they themselves have purchased in China, but that's a whole other story.

 

[SIY]

There are two laws which are inviolable, but still tempt people to challenge (fruitlessly) again and again.

1. Conservation of energy

2. Supply and demand

A “fair price” is what someone is willing to pay and someone is willing to sell it for.

 

[Nango]

The amount you pay should ideally reflect the business ethics of the manufacturer, as well as the quality, performance ..... [...].

We all know this is simply not true, even you said "ideally", I mean the fair level, not the ideal. Please don't start to be polemical with the issue.

I think you misunderstood the purpose of this thread.

 

[Nango]

2. Supply and demand

A “fair price” is what someone is willing to pay and someone is willing to sell it for.

Please don't start being polemical. This is not a fair (let's say, translated from another "fair(er) mkt), this is then just a mkt price, where the mkt does find an equilibrium, nothing else. I am not talking about that.

I am not even talking about paid prices, just offered fair prices. Please get serious on that stuff. Otherwise it is senseless to get fwd with that.

 

[SIY]

Please don't start being polemical. This is not a fair (let's say, translated from another "fair(er) mkt), this is then just a mkt price, where the mkt does find an equilibrium, nothing else. I am not talking about that.

I am not even talking about paid prices, just offered fair prices. Please get serious on that stuff. Otherwise it is senseless to get fwd with that.

Other than that, the concept of a “fair” price is absolutely meaningless. Or “senseless,” if you prefer.

 

[Nango]

The amount you pay should ideally reflect the business ethics of the manufacturer, as well as the quality, performance and enjoyment a product gives you, regardless of where and by whom it's made. Pride of ownership, identity, heritage and marketing play a huge part as well. Take Rolex, for example; Rolex makes a really good $1000 watch, but people gladly pay 10x the reasonable cost of their product.

I've never believed a product should be cheaper just because it's made in China by a Chinese brand. It's all relative to the standards of the Chinese company you're buying a product from. If they pay their workers in pennies, in awful work conditions, then I don't think we should be buying from them in the first place. We do, though. Me too. Often without realizing it, or because we don't want to think about it.

Then again, when a Chinese company raises their prices because they DO value their workers and pay them a fair salary, and when they do value their own product and maintain a high quality using premium parts, we often complain about the item being "too expensive for a Chinese product".

...

Also, I do believe quite a few Western brands charge too much for their rebranded OEM products that they themselves have purchased in China, but that's a whole other story.

That is polemical again. I mean, it is senseless to discuss or debate the issue with that attitude. I don't want to know if their workers in Doha die while building stadions for the olympic games (sad very sad they do!!) or if chinese workers are paid awful or not. That's not the issue. Senseless.

 

[Jimbob54]

Wondering if it could be an idea and if there is a more or less "scientific" way to proper approach or determine what the (fair) retail price should be for let's say, an amplifier, DAC, whatever is manufactured in the far east.

We all "suffer" from the bubble going on in headphones and primarily in IEM and otoh do accept prices for such items as they were from western manufacturers or even beyond and more expensive.

I think a first rough approximation could be the ratio you can find on retail mkt s for parts made in the western countries and in far east countries, like headphone pads, for instance. There are certainly other items available which might be more senseful. Any ideas ......?

Not sure I understand your goal? The "fair" price is what I, you or anyone else is prepared to pay. Or, simply put, assuming people are buying the stock sold on (for eg) Aliexpress, that is the fair price.

 

[Nango]

No. Simply spoken. If the parts forming an amplifier cost in western countries x and in AliExpress x/20 ..... Is the fair px for the built amp in far east x/20 the price in the western? Or is it x/10 because of this and that?

 

[AdamG]

May I kindly suggest you drop the “Asian” focus and simply focus on the best price period, no matter where it may be made or sourced.

 

[SIY]

Define “fair” precisely enough to be able to put your requested number together.

 

[Nango]

May I kindly suggest you drop the “Asian” focus and simply focus on the best price period, no matter where it may be made or sourced.

Well, this is the quid of the matter, if asian asked prices are fair or not.

 

[rdenney]

Please don't start being polemical. This is not a fair (let's say, translated from another "fair(er) mkt), this is then just a mkt price, where the mkt does find an equilibrium, nothing else. I am not talking about that.

I am not even talking about paid prices, just offered fair prices. Please get serious on that stuff. Otherwise it is senseless to get fwd with that.

With all due respect, this is an arrogant response. "Fair" is what returns the greatest return on the investments by the creator in creating the product. Any less than that is a disservice to the creator, which will have the effect of depressing creation. Anything more will not find a market, and will reduce the return. Products are infeasible in the market when the cost to produce exceeds the market price. The creation of new products (on the whole) increases when the gap between cost and price increases.

That is all as serious as can be, and it is not polemical. It works whether the means of production is controlled privately or by the state. There are forms of government (actually, all of them at times) that attempt to control costs and prices outside these parameters, and the result is always inefficiency, reduced quality, or reduced market (or all three).

It is possible to force an anomaly for one or two products, or as a result of some larger market strategy, but the equilibrium is always restored eventually.

Rick "thinking great products result from rewarding their creators" Denney

 

[boselover61]

This dude hate on chi fi product every thread i have been to. Whats the motive herr

 

[Nango]

This dude hate on chi fi product every thread i have been to. Whats the motive herr

No hate, I indeed have an account with AliExpress and Banggood, with Banggood being far better than Ali btw !!!!

 

[Wes]

If something is fair then quid are not involved.