Archived posting to the Leica Users Group, 2002/12/19

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Subject: Re: [Leica] Re: Leica Price increase
From: "Doug Lee" <doug.lee8@verizon.net>
Date: Thu, 19 Dec 2002 09:04:59 -0500
References: <00c901c2a75c$ef0c8480$eb72793f@dimarcojr.pressroom.com>

- ----- Original Message -----
From: "Sal DiMarco,Jr." <sdmp007@pressroom.com>
To: "LUG >for posts" <leica-users@mejac.palo-alto.ca.us>; "LEG"
<leica@topica.com>
Sent: Thursday, December 19, 2002 7:48 AM
Subject: [Leica] Re: Leica Price increase


> Friends,
>     For the past couple of days, I've been reading the comments about the
> upcoming Leica price increase and I must conclude the following:
>     1.- Many of you feel the employees of Leica do not deserve an increase
> in salary.

I am sure Leica employees deserve an increase in salary. On the other hand,
given the current state of the global economy, perhaps they should be happy
they have a job.

>     2.- Leica AG never has any increases in the cost of doing business.

I am sure they do. But that does not necessarliy mean product prices should
increase Euro for Euro. Of course, the demand for Leicas may be  relatively
inelastic and they can get away with it.

>     3.- Their suppliers do not have or are not permitted to have increases
> in their cost of doing business.

I don't see how that has any bearing on what price Leica sets for its
products. Except that if Leica rasies its price then the supplier's cost
will rise. The supplier may or may not be able to pass that cost along to
his/her customers.

>     4.- Leica should lower its prices and eventually go out of business.

It all comes down to supply and demand.  I hope Leica does not go out of
business. But, if they do, well, that would be the harsh reality of
economics.

>     5.- Most of you have absolutely no idea of how to run an international
> business.

No comment. (-:

>
> Happy Snaps and Holidays,
> Sal

Same to you Sal.

Regards,
Doug


>
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Replies: Reply from Tim Smith <tssmith@sonic.net> (Re: [Leica] Re: Leica Price increase)
In reply to: Message from "Sal DiMarco,Jr." <sdmp007@pressroom.com> ([Leica] Re: Leica Price increase)