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Posts | 3044 |
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Alias Born | 02/05/2008 |
Tuesday, January 07, 2020 11:03:38 PM
Per unit(Direct):
cost $250 FOB China
freight and handling $50
tariff $20
packin/shipping $20
delivery fee $30
reserve for warranty $10
reserve for return $30
Logistics(part of indirect):
customer service $10
sg&a $100 (assuming 1000 per month)
or
$520
that is
15% margin
-10% ADVERTISING spending
we have a 5% or $30 net without any impairments.
My take:
All risk and little reward.
Concern:
Copy cat on the prowl
tariff go from 10% to 25%
.......
.......
BUSINESS MODEL IS FOR THE INTERIM,IF NOT,IT IS DEFINITELY FLAWED.
OR
THINK OF IT,THE HORSE HAD NO CHANCE,BASED ON THE PROBABILITY I AM AFRAID.
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