ondarvr
Supreme Mariner
- Joined
- Apr 6, 2005
- Messages
- 11,527
Re: Boat builders shut down plants
If you think you can make and sell a boat at 50% of the current market price, then jump in.
It seems very easy from the outside, but the reality is far different, there isn't much money to be made even in the good times, so when the masses won't buy boats at even deep discounts, the builders just disappear.
Look at material costs of rebuilding a boat in your garage, it can easily run into many thousands, you're starting with an almost complete boat and not even paying for labor or a building.
Heck, if I was in the weapon business I'd spread political FUD too, rednecks believe all that stuff. "Get' yer gun bafoor them demoncrats tak'em away!"
Yeah, that was reeeeaaally gonna happen. Anyways, I'll save that for another forum.
Is it me, or is there crazy markup on boats? I mean with all the long term contracts for parts, etc, that Brunswick has... they can beat our pricing by miles - pennies on the dollar. I dunno, I just think the industry could cut prices by a full half and still make a killing. Maybe their business model just sucks... ??? Am I way off base here?
If you think you can make and sell a boat at 50% of the current market price, then jump in.
It seems very easy from the outside, but the reality is far different, there isn't much money to be made even in the good times, so when the masses won't buy boats at even deep discounts, the builders just disappear.
Look at material costs of rebuilding a boat in your garage, it can easily run into many thousands, you're starting with an almost complete boat and not even paying for labor or a building.