What is the profit breakdown from raw material to final product?
diesel8289 asked:
Does anyone know the profit percentage breakdown of a product’s total retail price going back to the raw material? From retail store profit percentage to distributor’s profit percentage to manufacture’s and the raw material manufactures.
Taeyyenom
Does anyone know the profit percentage breakdown of a product’s total retail price going back to the raw material? From retail store profit percentage to distributor’s profit percentage to manufacture’s and the raw material manufactures.
Taeyyenom
1 Comment to “What is the profit breakdown from raw material to final product?”
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By Frank S, February 27, 2010 @ 8:08 pm
too broad of a question.
It depends…. on the product itself, tolerable profit margins and break-even points. Different “types” of products will carry different markup “points” throughout the chain.
“Markups, like all pricing strategies, depend on three influences — cost, competition, and demand.”
here is a quick reference link: