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#13
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Re: Orbit Balls - For Sale
As far as a 100% to 200% profit margin I would agree EXCEPT
One has to include the labor BEFORE one figures profit margin. I think everyone on here who is complaining about price should consider that this team is using team resources and time to do this. If you purchase a ball from them you are saving that time... Now if a team had balls purchased from WalMart that were just extras and they were asking $20 for them ... then we would have a 100% mark up. Which is quite normal by the way... If we think about this from a resource allocation model... we are paying for a resource from this team.... The other approach is simply this... This team is really selling these at cost if they have a man-hour labor and a materials cost of $10 per ball... with the going rate of $10 per hour for labor that adds up to $20 a ball....cost... This team is volunteering to use its own precious time resource to do this and should be compensated for that... As I mentioned in a post on the poll thread... The balls our team purchased from LogoLoc ended up costing $14.00 per ball after the shipping and handling costs from logoloc (FIRST). Those balls were gone in one day..... at that price |
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