I got a quote from two manufacturers/prototypers (CNC machining, injection molding, etc.) from china and USA. The priced my compound bow at $7000. I checked google and it takes $300 a unit to manufacture a compound bow. Archery companies sell compound bows for $2000. Hence I am not sure why my manufacturing costs are so high. I am assuming archery companies don't pay $7000 to manufacture a bow then sell it at $2000. What do the archery companies have that I don't?
Initial costs to create injection molding tooling and CNC machining programing for unique parts is cost intensive. Manufacturing development like product NRE (Non- Recurring Engineering) is expensive and costings are amortized over the lifecycle on the end product.
Average Cost per unit = total costs to produce / # of units produced
Low volume manufacturing can rarely compete with optimized high volume manufacturing.
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