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I think I know what is meant, but the examples probably aren't that well chosen, as European makers of luxury goods deliberately hold down production and limits availability, in order to keep their products exclusive.Precision comes at a cost - take Porsche and Rolex as examples.
If you say so. But they still put quotas for different markets to keep the car exclusive into the mid-1990's, didn't they?Griffon - you are wrong, at least what comes to Porsche (one of the examples).
Oh, yes, they do. Both production, but most importantly the number and kind of places the goods are sold. This is an important factor in keeping the price up, and as they aren't changing their methods, it seems to work.In general the European makers of luxyry goods might have hold back with production a while back. But I would not imagine that anyone can do that anymore.
Think it through: If you keep the product exclusive, then you can charge price Y for a number X of sold items. It's not at all given you can still charge Y if you sell 1.5X, so perhaps you won't make more money unless you lower the price even more and sell several times as many items. So limiting sales numbers may not be tied into production capability.Griffon, of course they have quotas for different markets, but not to keep the car exclusive. They for sure can not afford not to sell cars...