Mercury Marine plans new sterndrive in 2014
- Thread starter EB News Bot
- Start date
Sean
Well-Known Member
This sounds like bad news to me. If merc develops a proprietary engine and is looking for margin; it will be overpriced as the current sterndrives and then some. Not only that ... replacement parts for discontinued drives/engines will also increase in price.
Why is it that a (relatively) small company like SEI can sell a drive at 1/3 of what Merc sells it for with all their economies of scale?
We can only hope the likes of SEI will start to manufacture gimbles to match their sterndrives and leave an affordable alternative.
Merc is greedy and likes a semi-monopoly. When too many other choices become available they use their marketshare advantage to eliminate common elements then, stick it to the consumer. I hope their new engine/drive is as successful as the Force L drive!
Why is it that a (relatively) small company like SEI can sell a drive at 1/3 of what Merc sells it for with all their economies of scale?
We can only hope the likes of SEI will start to manufacture gimbles to match their sterndrives and leave an affordable alternative.
Merc is greedy and likes a semi-monopoly. When too many other choices become available they use their marketshare advantage to eliminate common elements then, stick it to the consumer. I hope their new engine/drive is as successful as the Force L drive!
Sean
Well-Known Member
This also does not look good when Merc just announced an 18 million dollar increase in sales in just one quarter over previous year.
This sales increase included a LOSS of market share in one of their divisions.
When you make less it costs less. Bump the price and sell less... but make more.
This is market manipulation and GREED. My former employer has done the same thing so, welcome to the new way of doing business.
This sales increase included a LOSS of market share in one of their divisions.
When you make less it costs less. Bump the price and sell less... but make more.
This is market manipulation and GREED. My former employer has done the same thing so, welcome to the new way of doing business.