MBQ wrote :-
' Are any of the savings made from using cheaper manufacturing costs really passed onto the customers ! '
' Why on earth would a company do that. '
" Simple, to gain a competitive advantage. Companies do it all the time.
Why do you think PCs are so cheap nowadays ? "
It is only in recent years that people like DELL have had any sales impact against say IBM. That fact that IBM is, on paper, more expensive that it's rivals business has still stuck with them, why ? because of their name and the old belief that the most expensive must mean the best !
PC's prices are misleading, for example, you can buy a 'up to date' PC for about =A3799 from DELL but the standard guarantee is only 1 year and if say the motherboard goes after this time you can't just get an 'off the shelf' board from your local PC shop as the boards are unique to DELL and can only be fitted by a DELL engineer. A MEDION PC is also a 'up to date' PC purchased through an outlet like ALDI but they provide a 3 year guarantee as standard. Don't get me wrong, both manufacturers offer got quality PC's and service.
On another thread people are discussing profit margins on model's. If you look at the cost difference between almost identical PC's in the USA & UK the figures are the same but one is in $'s the other in =A3's i=2Ee. about 50% cheaper in the USA !
Cheaper manufacturing costs CAN be passed onto the customer but in the UK it appears someone else gets the cream !
Chris