What makes a production knife expensive?

I saw a Youtube of the 2011 Blade Show where they were interviewing the girl at the Kershaw booth. She said it would be about $700, but that was about a year ago. I figured it would be out by now. Looks like an interesting knife. About the same size as the ZT0560 and, I went around the web and you are right, it is $475 or so depending on where you order from. They are making about 150 a month it seems and began to release them in June.
 
Which would indicate an MSRP of around $600.
I would be interested in where you got the information on the 0777. It is not out yet. Most dealers are advertizing them for $480.
 
As far as Sebenza pricing they aren't that far off considering they set the bar for quality production. Hinderer knives are priced that high because for some reason Rick can't get the production numbers high enough to satisfy demand so dealers bend you over a barrel for them. XM-18 prices are about $400 dollars to EMTs that Hinderer gives preference to since that is his occupation. At $400 the XM-18 is about as good a deal as a Sebenza both of which IMHO are worth the money.
 
The number of parts is irrelevant. The percentage price difference between the high end and medium end productions is in both cases is quite similar. The comparison does work....and for the very reasons you listed.

I totally disagree. The number of parts and the much much more R&D and constantly changing and tightening of regulations forced on auto manufactures is a poor comparison to knives manufacturing. CRK invented the R.I.L. 25 years ago, we certainly do not use the same technology in automobiles that we did 25 years ago. The percentage of price difference may be similar when comparing two particular cars to two particular knives, but his reasoning about a knife and how simple it is is dead on. You just cannot find logic in the price difference in knives without saying you are paying for the name. There have been some innovations and changes in knives over the last 25 years, but the amount of change in the auto industry is not even comparable, not even on the same planet. That change and innovation costs lots of money.
 
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