In your opinion, what warrants an above $400 MSRP for a production pocket knife?

[SharpBits]

How much is the Mona Lisa worth? It just some dried up colored oil on an old board. I'll give ya $20!

Jokes aside, these discussions that come up all too frequently, all come down to the individual and their personal decision on how they want to spend their money. You decide for you, and let others make their own decision.

 

[SharpBits]

Agreed, and when supply is down demand goes up. . .

Not always. My demand goes down as prices go up. I'm not alone in that.

 

[Blues]

To clarify, I will most likely not be interested in anything more than the AD20 because I'm happy with them and thats a high enough price point for a knife. A knife over a grand or two is not what I will spend my money on. For me its just a knife and I already feel ridiculous. I would rather buy something like an AUG or motorcycle. To each their own.

No argument from me. That said, my motorcycle is sitting in the garage needing some upkeep I probably won't bother with, and I turned in my AUG when I left our tactical team. (I've thought about buying one in the past, but the price was too high. LOL)

 

[BP Green]

Not always. My demand goes down as prices go up. I'm not alone in that.

Thats the point though isn’t it? Price goes up until it hits a certain max at which point people stop buying and the demand drops, which in turn drops the price until people start buying again and the cycle repeats. There’s a balance point at which the item will sell. What that point is is not objective. You can’t really apply a hard value to something based on objective factors. Well, you can but the buyers will ultimately be the ones who set the market value based on whether the product sells or not - demand.

 

[oldmanwilly]

No arguments there, like I said earlier. Production cost including overhead is a valid reason for a higher MSRP. Your volume is very low which directly impacts the cost of production per piece. But can you look me in the eye and tell me that argument flies with something like a CR Sebenza or Medford Pretorian?

I'm not a particular fan of either of these brands, although I know many are. At one point long ago, each of them started a small operation that fostered a loyal fanbase and allowed them to grow their business. They put in the effort and built their golden goose: should they suddenly sell the eggs at a 50% discount just because they are a going concern? I think not.

 

[The True North]

Voting with my wallet. I'll pay way more for any product, if it means an American or Canadian is kept in a job/benefits.

 

[BoCen]

How much is the Mona Lisa worth? It just some dried up colored oil on an old board. I'll give ya $20!

That analogy doesn't fly my friend, the Mona Lisa is a one of a kind custom that involved nothing but manual labor. My argument was on production pieces being sold at Mona Lisa prices

 

[marcus aurelius]

This is very subjective and has changed over time for me. I spend money on scales/hardware for Spydercos, which is equivalent to setting money on fire, but I enjoy doing the builds. So I struggle with getting too philosophical about value. You like what you like. If you try to explain how the hobby makes economic sense, that's going to be tough.

 

[SharpBits]

That analogy doesn't fly my friend, the Mona Lisa is a one of a kind custom that involved nothing but manual labor. My argument was on production pieces being sold at Mona Lisa prices

Not meant to be a perfect analogy. It was meant to point out that if you don't see the value, you won't pay the price. Value is a personal and subjective evaluation. Just because I find little to no value in an object, doesn't mean you should see it the same way.

My argument was on production pieces being sold at Mona Lisa prices

We are closer on this then you might imagine.

 

[SharpBits]

If you try to explain how the hobby makes economic sense, that's going to be tough.

This ^.

It is true of every hobby. Hobbies rarely make objective sense.

 

[Tritium]

This ^.

It is true of every hobby. Hobbies rarely make objective sense.

Could you imagine this conversation on the boat forums

 

[Hvactech]

You think it’s crazy for the time they spend build these knives for the prices they charge, then you don’t even want to see what I charge doing HVAC. It’s a skilled trade just the same as what I do. Sure after 31 years in the field, I make it look easy. Took a lot of messing up to get where I am today. We all deserve to make a decent living.

 

[SharpBits]

I mitigate the high cost of some brands by looking on the secondary market. The secondary market can sometimes be a better gauge of worth. However, flippers and hype driven products will often be worse on the secondary.

 

[J. Doyle]

It is nearly impossible to have an "objective" conversation about knife pricing because by its very nature it is almost exclusively subjective.

 

[sgt1372]

Why do I spend $400 or more to buy anything?

The answer is simply because I want or need it and have the $ to spend on it.

Just spent $450 to a company to detect a leak in my house that needs to get fixed ASAP . . . the plumber's here NOW!!!

I also just spent $400 on a Les George Raider Stiletto that I don't need but wanted.

 

[Fonedork]

An above $400 resale value

 

[Blues]

It is nearly impossible to have an "objective" conversation about knife pricing because by its very nature it is almost exclusively subjective.

In your opinion.

(That's a, I say, that's a joke, son. - Foghorn Leghorn)

 

[J. Doyle]

In your opinion.

(That's a, I say, that's a joke, son. - Foghorn Leghorn)

I threw in a "nearly" and an "almost".

 

[Danke42]

That analogy doesn't fly my friend, the Mona Lisa is a one of a kind custom that involved nothing but manual labor. My argument was on production pieces being sold at Mona Lisa prices

Which specific production knives do you feel are subject to Mona Lisa prices? Chances are good that someone here has that exact knife and can chime in.

 

[madcap_magician]

That's precisely what I'm questioning though. The objective worth is the cost of production per piece measured against the number of expected sales. If I initially produce 10.000 pieces and want to shield myself from the cost of just selling 8.000 pieces the price will have to include the cost of the 2.000 unsold pieces just to break even. So I understand the cost of a knife isn't simply an addition of the materials used and overhead on that piece alone. That said, factors like materials bought in bulk, and in some cases even oversees production, should be reflected in an MSRP in my opinion and we're seeing too little of that with some major brands.

I get that "what someone is willing to pay" is the end all be all answer. I mean if folks are willing to pay $10 for single orange why sell it at $0.50 but it still doesn't fully make sense to me why more people aren't voting with their wallets when it's so obvious you're overpaying. Just my 2 cents.

The answer to this question is super obvious. You're wrong. You are asking why there are production knives about $400 MSRP when you do not think there is anything that justifies you purchasing such a knife. The answer is that a sufficient number of people disagree with you that there are a fairly large number of companies who make and sell exactly such knives. Such companies will continue to exist as long as people continue to vote with their wallets in favor of their existence. The fact that you or even most people vote otherwise is irrelevant. The existence of the market speaks for itself. There's a demand, and where there's a demand, there will be a supply.

It's a niche market, and it doesn't involve the majority of knife purchasers, but its existence is self-justifying.