His provided numbers are stupid in that they are not meaningful by
themselves. If you sell a million
Cameras at $1000, that’s 1 $BILLION in revenue
And the extra $5 million in cost is very small at that scale so it's all
relative. Secondly, I honestly feel a separate model AT A HIGHER PRICE
(just like anti-shake feature is marketed) could certainly overcome
the extra production cost and be actually profitable on the body.
jco

-----Original Message-----
From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of
Shel Belinkoff
Sent: Saturday, October 21, 2006 8:30 AM
To: Pentax-Discuss Mail List
Subject: Re: The JCO survey

Yes, I understand that, but I wonder of JCO grasps the concept.  I knew
a
number of people in the automotive business many years back, and they'd
watch every penny, literally. One cent spread over the cost of more than
a
million units adds up quickly enough.  Listening to these guys discuss
costs was an amazing experience.  One conversation centered about
spacing
bolt holes on a panel to see if they could get by with four instead of
five
bolts.  Not only did they consider the cost of the additional bolt
(which
seemed trivial until one multiplied by the estimated number of units
needed), but they factored in the time to install that one bolt during
manufacture, and the cost of adding the fifth hole.

John Celio pointed out that the mechanism is more complicated than some
may
realize, and while the actual cost of parts may be trivial, the cost of
the
steps needed to include those parts also must be included, as you say. 
Plus there's the time involved, and the possibility that there may be
more
rejected items, and inventory and storage/shipping costs.  The truth is,
we
_don't_ know the true cost of including the item on contemporary DSLR
camera bodies.  We're just not privy to that information.

I think JCO, with his continued harping on the cost being $5.00 is just
blowing smoke.  It's a number he pulled from the air, based on some
abstract calculation that he came up with.  For all we know, including
the
aperture simulator on contemporary cameras, especially after the design
has
been set to not include the item, may cost more than the inclusion of
shake
reduction.  Are you listening, John.  There's a lot more to the true
cost
of an item than the small cost of materials.  And just because the
peripheral costs may not have been very great on K-bodied cameras, those
numbers may be completely different for the DSLR.

BTW, Leica found out about the cost of the need for precision manual
assembly, and their newer cameras were designed to eliminate as much of
that type of work as possible.

Shel



> [Original Message]
> From: Pål Jensen 


> ----- Original Message ----- 
> > How do you know the part in question costs $5.00?  
> > Does the $5.00 reflect only the cost of materials, or 
> > does it include any manufacturing and setup
> > costs to implement the item in cameras that were 
> > designed not to include the part?
>
>
> If it cost $5 and you sell a million cameras thats five million.
> I personally believe that the lens mount without mechanical coupling
are 
> more suited for robotic assembly. Mechanical linkages needs precision
and
is 
> probably far more expensive to manufacture I suspect. Therefore I
don't 
> think we will see a completely compatible lens mount in anything but a

> top-of-the-line body if at all.
> Personally, I find this issue trivial. Although it would have been
nice
with 
> complete comaptibility with K and M lenses, Pentax after all fully
support 
> all lenses made after 1983. Thats best in business.





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