Why does heavy equipment cost so much?
- Thread starter The motor guy
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Originally Posted By: SuperDave456
I remember back when I worked for Citigroup looking at a loan for a small bulldozer. $230,000 doesn't get you much.
It's all the hydraulics. They aren't cheap to build, cheap out on hydraulics and learn quick, and they are labor intensive to build.
I can tell you first hand it is not all in the hydraulics. Yes, it is a chunk of the price of the machine, but not the driver. The engine, frame and jigging materials that go into the frame far outweigh the hydraulics.
The hydraulics are my favorite part though ;-)
I remember back when I worked for Citigroup looking at a loan for a small bulldozer. $230,000 doesn't get you much.
It's all the hydraulics. They aren't cheap to build, cheap out on hydraulics and learn quick, and they are labor intensive to build.
I can tell you first hand it is not all in the hydraulics. Yes, it is a chunk of the price of the machine, but not the driver. The engine, frame and jigging materials that go into the frame far outweigh the hydraulics.
The hydraulics are my favorite part though ;-)
These are highly specialized low volume machines that are intended to be worked hard for a couple of decades without much more than scheduled maintenance.
The hydraulics aren't that expensive.
If you want a small all-hydraulic machine, Bobcat can sell you a much cheaper one.
Do you really need a half million dollar machine?
Any dealer will ask you what it is you need to do and steer you to a machine that would suit your needs without your having to spend 500K.
And yeah, both the dealer and the manufacturer will expect to make a profit, just as you and your suppliers did when you owned an engine shop.
The hydraulics aren't that expensive.
If you want a small all-hydraulic machine, Bobcat can sell you a much cheaper one.
Do you really need a half million dollar machine?
Any dealer will ask you what it is you need to do and steer you to a machine that would suit your needs without your having to spend 500K.
And yeah, both the dealer and the manufacturer will expect to make a profit, just as you and your suppliers did when you owned an engine shop.
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