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Date:      Thu, 1 Aug 1996 15:19:29 -0700 (PDT)
From:      Ulf Zimmermann <ulf@Lamb.net>
To:        rgrimes@GndRsh.aac.dev.com (Rodney W. Grimes)
Cc:        freebsd-isp@freebsd.org
Subject:   Re: Question about Cisco 2503i price
Message-ID:  <199608012219.PAA29988@Gatekeeper.Lamb.net>
In-Reply-To: <199608012122.OAA02258@GndRsh.aac.dev.com> from "Rodney W. Grimes" at "Aug 1, 96 02:22:21 pm"

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> > 
> > >I show that to be the wholesale price for the KNE40T (TP only), I
> > >can see $56.00 retail if you buy in 20 packs at a time.
> > >
> > How can a 20-pack be retail?
> 
> It is ``retail'' if you are the end user purchaser, ie, if your not buying
> the product to resell it to some one else that would qualify as a retail
> sale.
> 
> If sales taxes applies in the state then either sales taxes has to be
> collected, or use tax payed at the end of the year by the end user,
> that would be retail.
> 
> > whats the definition of wholesale these days?
> 
> Purchases from manufacturer or distributor and sold to resellers/VAR's/etc.
> 
> Most distributors will not even talk to you unless your in the business
> of reselling and can produce a state resellers license.  Large corporations
> tend to bend these rules pretty badly, they are not in the business of
> reselling computers, but because the do other forms of ``reselling'' they
> slip it past the wholesaler, and often even lie on the account application.
> 
> Manufactures won't deal with you unless you can promise them millions of
> dollars in annual purchases (ASUS won't sell me motherboards unless I buy 500
> of them/month, Miro won't sell me video cards unless I buy them 520 at
> a time, etc, etc.)
> 
> There are like 5 or 6 offical ``wholesalers/distributors'' of Quantum disks, 
> anyone else is either buying back door units from an OEM who has an overrun
> (known as the ``grey market''), or they are buying them from these 5 or 6
> places.
> 
> > I pay the same for 1 as I pay for  50. (maybe I get a dollar).
> > there is no "wholesale" in the PC parts business if you know where to go.
> 
> That statement is incorrect.  I'll tell you where to go, go try to buy
> motherboards from ASUS, or CPU chips from Intel/Wyle/Hamilton Avenet,
> they won't even deal with you unless you want to buy 500 to 1000 of them.
> THATS wholesale buying.
> 
> Sure ASI and Supercom and all the other distributors will sell you 1 or
> 50 at the same price, and I'll beat you that price is more than I or any
> other ``real'' PC reseller pays for the same product from the same source,
> unless your buying quantity day in and day out you won't ever see real
> wholesale pricing.
> 
> If your not getting price breaks at qty 50, your not negotiating prices
> very well.  On the KNE50T for example, qty one cost for me would be $55.00,
> if I buy 20 of them it would be $47.00, a wee bit more than your ``dollar''.
> If I where reselling these to you the price delta would be similiar, I pass
> on my volume purchase savings to my clients just like everyone else does.
> 
> > Dennis
> > ----------------------------------------------------------------------------
> > Emerging Technologies, Inc.      http://www.etinc.com
> > 
> > Synchronous Communications Cards and Routers For
> > Discriminating Tastes. 56k to T1 and beyond. Frame
> > Relay, PPP, HDLC, and X.25 for BSD/OS, FreeBSD 
> > and LINUX
> 
> 
> -- 
> Rod Grimes                                      rgrimes@gndrsh.aac.dev.com
> Accurate Automation Company                 Reliable computers for FreeBSD
> 

A difference btw. the single card retail box and a 5/6/20/50/100 box is, you
get often only 1 handbook, 1 driver disk, 1 warrenty card with the larger
quantity boxes. etc.

Ulf.

---------------------------------------------------------------------
Ulf Zimmermann, 1525 Pacific Ave., Alameda, CA-94501, #: 510-865-0204
Lamb Art Internet Services    ||  http://www.Lamb.net/



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