Why are teardrops so expensive?

avoidcrowds wrote:
"...but I now have to go off and do some work."

Speaking of work - is it greedy for us to ask for a raise? We are wanting our employer to give us more than they offered to pay us.

How is this different than calling a dealer greedy for asking a price that is higher than what we are willing to offer?

I believe the current definition of "greed" is: Someone charging more than I want to pay". Greedy: Those who get paid more than I do.

I get so sick of people calling other people, or companies, greedy. Normally, the market sets the (variable) price based on what people are willing to pay, while depleting inventory in a profitable manner. "Major" has made many good points, above.

Your post makes little sense and it actually appears to contradict itself but it does not really matter does it. Asking for an unreasonable raise can be seen as greedy - no one is debating that point. On the other hand if one is being underpaid and asked for a raise, is that greed / greedy? Your example is over-reaching. FWIW, I have never asked for a raise in my life. I am a professional and there are other ways to convince the bosses that you deserve a raise.

By the way, your definition of greed is inconsistent with the real (dictionary) definition of the word but that too is beside the point since it is often the buyer's perception that matters.

Anyway, I am tired of this useless argument now. The point has been made about artificial inflation of prices just because something is popular or in demand (hey, the raising of gasoline prices comes to mind) - that was my point. Sure they are free to raise the prices and people are free to buy or not buy, but that is not what I was getting at.

I am going to bed now. Maybe you can work that into another example of greed. Have at it. I won't see it. ;)

"...but I now have to go off and do some work."

Speaking of work - is it greedy for us to ask for a raise? We are wanting our employer to give us more than they offered to pay us.

How is this different than calling a dealer greedy for asking a price that is higher than what we are willing to offer?

I believe the current definition of "greed" is: Someone charging more than I want to pay". Greedy: Those who get paid more than I do.

I get so sick of people calling other people, or companies, greedy. Normally, the market sets the (variable) price based on what people are willing to pay, while depleting inventory in a profitable manner. "Major" has made many good points, above.

Leo Smith wrote:
With any manufactured product, there are four components that set the price: Labor, materials, overhead, and profit.

The only thing that sets the price is when a seller and buyer agree. Labor, materials, overhead, profit are only important to determine if the product is worth producing.

As long as cars and trucks get smaller, and fuel gets more expensive, these canned ham trailers will be popular and expensive relative to their size.

Major Dad wrote:
The market (as long as market failure is not present) sets the price. In that context, if you want to say the supplier is "greedy" for selling a product for what the market will bear, then the consumer is just as greedy for trying to purchase something for less than the market price. I see no moral issues here; we're talking about travel trailers (wants), not life-saving medications (needs). Consumers and suppliers are both motivated by self-interest, and those competing interests in the marketplace are what sets price and production levels. It is tempting to ascribe "greed" to this process when a market doesn't produce something for the prices you want, but I can assure you that I never called myself "greedy" when I bought my trailer for an incredibly low price in 2008!

IOW, understanding how demand, supply, and pricing works helps consumers make better choices (in this case teardrop trailers), and I certainly support that!

I like your arguments above - makes good sense. IMO it does not detract from the point I was making in regard to where to set the price point, but since neither of us are really privy to the exact profit margin, we will just have to leave it at that. I wish we were face to face to debate this further but I now have to go off and do some work. :(

With any manufactured product, there are four components that set the price: Labor, materials, overhead, and profit. The difference with labor and materials between a teardrop and a box trailer might be nominal, even though the floor area and volume of the box trailer will be larger than the floor area and volume of the teardrop.

It is a similar situation with motorhomes. A Winnebago Vista is lower priced than a Roadtrek Class B, yet the Vista has more volume and floor area than the Roadtrek.

The market (as long as market failure is not present) sets the price. In that context, if you want to say the supplier is "greedy" for selling a product for what the market will bear, then the consumer is just as greedy for trying to purchase something for less than the market price. I see no moral issues here; we're talking about travel trailers (wants), not life-saving medications (needs). Consumers and suppliers are both motivated by self-interest, and those competing interests in the marketplace are what sets price and production levels. It is tempting to ascribe "greed" to this process when a market doesn't produce something for the prices you want, but I can assure you that I never called myself "greedy" when I bought my trailer for an incredibly low price in 2008!

IOW, understanding how demand, supply, and pricing works helps consumers make better choices (in this case teardrop trailers), and I certainly support that!

X2. It's funny how companies are always considered "greedy" for charging what people will pay, but buyers are never greedy for shopping for a good deal. Using that philosophy I guess anyone who buys Xmas decos at 75% off after Xmas is greedy too.

I would imagine that if there was a huge profit margin on these things we would see a lot of companies popping up selling them and the price would go down.

The price difference between a small TT and a medium sized TT isn't much. The larger one has a lot more room and much lower per square foot cost. Is the small TT overpriced?

PM sent

wmoses wrote:

Major Dad wrote:

A few points from an Economics teacher...
....
Of course, these are generalities and individual results may vary

You know, I am aware of all your points, and I agree with them because they are true as far as I was taught back in university economics.

But that is not my point.

Consider this - statutes are there to tell us what we can do according to the law. Morals are there to tell us what we are should do.

Now take that inter-relationship and consider the parallels with regard to to economics and greed.

That is all I am prepared to say on this.

Robert the Aussie makes a good observation - the teardrops manage to be priced lower (appropriately?) Down Under. I would wager to say it is similar in Canada but I might be wrong given it proximity to us here. I don't think that we can be so presumptuous to say that those two countries are not familiar with the tenets of economics.

Economics aside, if we do not stifle our consciences, we can allow that in the marketplace in which we live greed is a factor.

As for the teardops - I think they are pretty cool (thanks to bakerkids who shared her beautiful picture - makes me feel like camping right now! :)) and her thoughts on why it works for them, and for many others who like small (that definitely has its advantages).

The market (as long as market failure is not present) sets the price. In that context, if you want to say the supplier is "greedy" for selling a product for what the market will bear, then the consumer is just as greedy for trying to purchase something for less than the market price. I see no moral issues here; we're talking about travel trailers (wants), not life-saving medications (needs). Consumers and suppliers are both motivated by self-interest, and those competing interests in the marketplace are what sets price and production levels. It is tempting to ascribe "greed" to this process when a market doesn't produce something for the prices you want, but I can assure you that I never called myself "greedy" when I bought my trailer for an incredibly low price in 2008!

IOW, understanding how demand, supply, and pricing works helps consumers make better choices (in this case teardrop trailers), and I certainly support that!