Industry questions

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I'm intrigued by the business side of the knife industry. The question I have is what is the average industry markup? If a pm2 is $185 on BladeHQ how much does Spyderco sell it to them for, and
how much is it made for?
 
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Spyderco in general, and Sal Glesser in particular, are pretty transparent about their business practices. I may be misremembering, but I believe Sal stated that their MSRP and MAP pricing are formula driven rather than pushed to what the market will bear, which is a damn decent way to do business. He may have even given the specific profit margin they look for on knives, but I don't remember exactly.

I suspect other companies do things differently based on their overhead.
 
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Insipid Moniker said:
Spyderco in general, and Sal Glesser in particular, are pretty transparent about their business practices. I may be misremembering, but I believe Sal stated that their MSRP and MAP pricing are formula driven rather than pushed to what the market will bear, which is a damn decent way to do business. He may have even given the specific profit margin they look for on knives, but I don't remember exactly.

I suspect other companies do things differently based on their overhead.
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Spyderco's method definitely works.
 
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Remember, money doesn't Mean anything right now.....it's hard to determine what things cost.
We did This to ourselves.

We have at least three years (if we are lucky) before money is a believable article, again.

Rule of thumb is everyone who controls it/handles/sells it. Manufacturing, distribution, stores, etc... Doubles it.
30% would be cheap.
 
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