Analyzing the USA-Made Production Process

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The presenter clarifies that the higher cost of the USA-made vise is due to its complex production process, which involves five different companies: a foundry, machine shops, broach companies, painters, and finally, boxers and shippers. Each of these separate entities contributes to the final price, as they all seek a profit margin, resulting in an 'elevated price' for the American-made tool. This process is contrasted with the Taiwanese version which is produced from start to finish in one factory.

Goal: Understand the cost drivers for the USA-made vise.

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Fireball Hardtail 614 Vise Fireball — The product being discussed

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pass through five different companies. We have the foundry, then you have the machine shops, then you have the brooch companies, then you have the painters, and then you have the boxers and shippers, and then you have me. >> Okay, >> this is still my design. Or the Taiwan, they're very special because they have a start to finish factory. They can cast it in the factory, then pass it down to the machinist, then pass it down to the painter, then pass it and put it in a box from start to finish in the same house. >> But you do you do not try to hide that. You let people know you can buy Americanmade or you can buy >> Yes. It's listed on the website. >> Yes. >> Because I do not have a foundry. >> For me to own a foundry is ridiculous. I'd have to spend $50 million and try to get the EPA for me to own a foundry. So, I have to hire a foundry. >> I have a machine shop, >> but I don't have a brooch company and I don't have a paint, >> right? So, as you can start to see, this is where the price starts to elevate cuz everybody wants a little more money. >> Y >> So, everyone wants a little more piece of the puzzle. >> Is there a difference in quality?

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