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Kristian Ukkonen Kristian Ukkonen is offline
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Default Economics of plasma cutting

On 8/11/2011 6:45, wrote:
I have been getting various quotes for plasma cutting jobs. I
understand that there are disposables involved with tangible costs.

It occurred to me that there has to be a figure that would price out
the cost of a plasma cut perhaps in terms of dollars/inch of
cut/thickness of a given material, thus isolating the procedural costs
from others such as workshop rent, labor etc.


In a free market, the price of item or service is not directly
proportional to the cost of producing item or service.

A large volume customer gets much better price than one-time..
Might be 5 times (or more) more expensive for one-time customer..

If there is a tough competition, the prices are lower than if
the plasma cutting company has monopoly at the area..

You can only calculate the LOWEST possible price with no
profit. That has nothing to do with the selling price..

Kristian Ukkonen.