Paul Crovella wrote:
> Adam Maas wrote:
>> Paul Crovella wrote:
>>> Adam Maas wrote:
>>>> Pentax lenses, which are in lower supply and demand, have a restricted 
>>>> number of sellers
>>> Adam, yes, *that* is supply and demand. The supply is low and while the 
>>> demand isn't huge, it's big enough in relation to supply to keep prices up.
>>>
>>> Saying that they cost more because they don't sell is ludicrous.
>> Actually, it isn't. Low-production items need to have larger profit 
>> margins to be economically viable (since they have to cover a larger 
>> amount per unit of your non-production costs and profit). And the cost 
>> of production is higher as well, since you lose many of the benefits of 
>> mass production (notably the ability to negotiate lower costs per unit 
>> of the necessary materials for manufacture because you aren't buying as 
>> much). So, yes, an item will cost more if it sells notably less.
>>
>> -Adam
>>
> 
> Read again what you just wrote. You're talking about low *production* - 
> supply!
> 

Read again what I wrote. The costs aren't due to limited supply of 
lenses compared to demand, but due to the inherently higher costs of 
doing short production runs and higher per-unit profit requirements to 
make the product viable.

-Adam

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