Archived posting to the Leica Users Group, 2001/06/03
[Author Prev] [Author Next] [Thread Prev] [Thread Next] [Author Index] [Topic Index] [Home] [Search]Not to be hard headed, but.....obviously the parent company does business with those who sell the items on the gray market. The people who sell on the gray market get their merchandise from somewhere. I'm just curious what the balance sheet at Leica or Nikon or Canon would look like: Items Distributed XXXX Items Distributed via official channels XXXX Items Sold to Other Folks XXXX Items Sold to Gray Market Folks XXXX Total of all Items Distributed. My only point is that someone, somewhere, somehow is able to acquire items at a price that's lower that the USA dealers. Who are they and how do they do it? From what I know, gray market prices are often lower than the genuine Leica USA dealer's cost. Somebody's doing something loosey goosey here. Who? "Kevin M. Bell" wrote: > At 01:05 PM 6/3/2001 -0400, you wrote: > >> Just wondering....if gear does not arrive from one country to >> another through >> "official channels," then how does it arrive? The parent company >> must be selling >> it to someone who is not an official channel, right? > > > Generally, gray market importers take advantage of differing exchange > rates, countries that have few if any import duties, and so forth. > One also sees companies set up as distributors in other countries, but > they only distribute to their own company in the US. They avoid the > support costs that Leica USA has, and the inventory stocking costs > that US dealers have. The main reason Leica USA or Nikon USA (or > whoever USA) object is that the gray market equipment can be sold for > less than the dealers pay. If everyone buys gray market, there are no > more USA dealers. > > (No, I am not a dealer, although I played one on TV) ;>) > > Kevin M. Bell > www.Camera-Collectors.Com >