Quote:
Originally Posted by NIKKG
What labor cost? Why do you think they are putting the plants in these third world countries for? Labor their is maybe a few dollars a day for 12 hour, 7 days straight work, its nothing but legalized slavery. Trust me, I've seen how much it actually cost to produce things at various companies and its nothing as high as you might think. How do you think Jobs, Woz and Bill Gates got to be multi-billionaires? All the top execs at these tech companies are mega-rich. They basically took things that cost very little and sold it at extremely high markup that would make a Colombian drug boss proud. Even for the software, they fired all the American workers and outsourced it to Indians for pennies on the dollar.
For different example, say the shirts you buy from Express at the mall that retail for $50 dollars probably cost the company no more than $1 to produce. Some of the profit goes to paying the sales rep, rent etc and the rest to some rich execs.
I am not saying their is anything wrong with making a profit, but some of these extreme markups have gotten out of hand. Especially that bumper, charging 30 bucks for something that cost 5 cents to make should be a crime.
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Shirts are different then computer chips...they make HUGE profits yes..but do not think its so simple..for factories you gotta develop certain machinery to produce the equipment...this machinery costs lots of money...OLED for example is A LOT CHEAPER then LCD..but it costs so much because they already have lots of LCD machinery and little OLED machinery...
An example is the PS3..Sony was actually selling it AT A LOSS!!!! but now they have gotten the machinery to produce it cheaply and they are making a profit..
now lets do some math..if he sold 3 million iphones 4 at 150$ price point they would make 150 million dollars + 10$ a month from the contract would give them 30 million $ a month + all the apps people will buy...you don't call that HUGE profit?