At every shop I worked at, we kept the price of tubes constant, even though the wholesale price we paid varied a fair bit. We even charged the same price for many sizes, even though each size had its own different wholesale price. At one shop we even priced tubes specifically so that it would come to a round dollar amount with sales tax. Decoupling retail price from actual wholesale cost for the sake of convenience has precedent, particularly in the retail bike business. You are almost certainly right that Rivendell is overcharging a little for large rings and undercharging a bit for small rings.
On Wednesday, December 18, 2013 1:22:55 PM UTC-8, Anton Tutter wrote: > > Oh, I understand economy of scale to mean bulk manufacturing, packaging > and transportation streamlining of a product to minimize the per-item cost, > but I thought it was a cute and apropos use of the term here, to the > per-tooth example. > > Anton > > > On Wednesday, December 18, 2013 1:58:57 PM UTC-5, Bill Lindsay wrote: >> >> Anton >> >> I'm don't think "economy of scale" means what you think it means. ;-) >> At any rate, I think you are right, they *should* be charging >> significantly more for the smaller rings than they are. I'm grateful for >> the discount and amused they have a pricing model that is both clever and >> logical. I hope they can make their margins and keep that model around for >> a while. >> >> On Wednesday, December 18, 2013 10:39:10 AM UTC-8, Anton Tutter wrote: >>> >>> Perhaps, but probably doesn't reflect economy of scale. i.e., does a 50T >>> ring cost twice as much to manufacture as a 25T ting? >>> >>> Anton >>> >>> >>> -- You received this message because you are subscribed to the Google Groups "RBW Owners Bunch" group. To unsubscribe from this group and stop receiving emails from it, send an email to rbw-owners-bunch+unsubscr...@googlegroups.com. To post to this group, send email to rbw-owners-bunch@googlegroups.com. Visit this group at http://groups.google.com/group/rbw-owners-bunch. For more options, visit https://groups.google.com/groups/opt_out.
