Rudolf73
Addicted to ArboristSite
Just noodling this around in my head......
Why will a saw that is 1400 Euro ($1720) in Germany cost around $1000 in the US?
The 1400 Euros includes 19% VAT (tax), so you can deduct that. Now we're down to 1176 Euros, or $1446. Small european businesses also have very high overhead and mostly sell fewer saws. I'm sure the dealer cost is far below the retail shown.
Stihl USA must accept a lower margin in the USA, in exchange for a higher volume of sales and due to what the market will bear. We have lower costs, and much more competition. At the end of the day, the 461 will probably be close to $999 retail that a 460 goes for; significantly lower in some locations:msp_biggrin:
Yes I agree, the US market has more competition than most and therefore prices are lower. Europe on the other hand is prepared to pay more for quality equipment if it means supporting their own economies so they adjust prices accordingly.