[Open-graphics] Price breakdown for OGD1 (and other hardware products)

Dieter netbsd at sopwith.solgatos.com
Tue Oct 24 09:01:20 EDT 2006


> A: Raw parts cost
> B: Engineering costs (design, testing, etc.)
> C: Other handling costs (overhead, packaging, etc.)
> D: Failure rate buffer (bad boards, warranty returns, etc.)
> E: Maximum discount
> F: Manufacturer profit
> G: Wholesaler profit
> H: Retailer profit

> What I want to figure out here is (a) what other costs needs to be
> accounted for, and (b) how the factors should relate to each other
> mathematically.

Does 'A' include board stuffing and soldering?  Testing?

Awhile back you were unhappy with the idea of having the board assembly
company also do the testing, fearing that bad boards would slip though.
Yet that would be the most efficient method.  One set of people to train,
no shipping if rework is needed, the ability to shut the line down if a
problem develops, etc.  The trick is to find a board assembly company that
provides high quality work at a reasonable price.

Add:

I: shipping (which can get involved, internationally)


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