Greddy declared bankruptcy today

[DonS1mpson]

I’m going to take an unpopular stand point here, but I had to say that the ‘knock off’ issue everyone is loosing their rag about must have had a tiny impact on this particular situation. Buying a $400 ‘knock off’ turbo from Ebay doesn’t put a company $60,000,000 in debt. Poor money management does.

Plenty of other industries have far bigger problems with knock-off goods than what the aftermarket parts industry has to deal with, but I don't see Louis Vuitton or Armani filing for Bankruptcy, and you can find knock offs of their goods on just about every street corner.

 

[JDMMA70]

I’m going to take an unpopular stand point here, but I had to say that the ‘knock off’ issue everyone is loosing their rag about must have had a tiny impact on this particular situation. Buying a $400 ‘knock off’ turbo from Ebay doesn’t put a company $60,000,000 in debt. Poor money management does.

Plenty of other industries have far bigger problems with knock-off goods than what the aftermarket parts industry has to deal with, but I don't see Louis Vuitton or Armani filing for Bankruptcy, and you can find knock offs of their goods on just about every street corner.

The difference on that is that people WANT the real deal. Woman dont want fake Gucci they want real Gucci purse same with Louis Vuitton etc.

When it comes to performance parts people want the cheapest they can get, rather than pay the hefty MSRP for an HKS parts or Tanabe etc.

 

[figgie]

The difference on that is that people WANT the real deal. Woman dont want fake Gucci they want real Gucci purse same with Louis Vuitton etc.

When it comes to performance parts people want the cheapest they can get, rather than pay the hefty MSRP for an HKS parts or Tanabe etc.

I have to side with Don1 on this one. A company does not get $60 million dollars in the hole just because.

 

[Ckanderson]

Here I am going to be a bit more sharp edged...

No of course it is the knock off! It has absolutely nothing to do with the exhorberent prices they were charging (and before one of you give me lip. I ran a genuine Greddy TD06-20g kit for my supra that I paid a hefty sum for).

i understant their prices were high (as are HKS or any othe rorginal japanese tuner) but they design the kit. China just buys one kit, makes a mock up, and then produces hundreds of kits. Greddy actualy did the designing.


Much like BIC downpipes. Yes they are more expensive then the china copies, but your paying for BIC design time.

 

[figgie]

i understant their prices were high (as are HKS or any othe rorginal japanese tuner) but they design the kit. China just buys one kit, makes a mock up, and then produces hundreds of kits. Greddy actualy did the designing.


Much like BIC downpipes. Yes they are more expensive then the china copies, but your paying for BIC design time.

yes but not by much (50% mark up is within that unless material prices have cut into that but forgive me I have not checked).

Greddy was doing nearly a 200% markup! The only place I seen that type of stupid markup is in the furniture industry and how they get away with it is beyond me.

Car parts? Nah man. I mean the price of the TD06 Turbo kit for our cars has GONE UP not down as normally is the case. It has never went down.

 

[DonS1mpson]

At the end of the day, the 'godfathers' of Japanese Tuning need to take a long hard look at the way they do business. The exuberant prices they charge might have been acceptable 10 - 15 years ago when they were the only dogs in the pound. Now they're got to compete with knock offs, which are a lot cheaper and from what I hear, are closing the quality gap rather quickly.

The big names need to drop their prices or they are going to lose out. As simple as that. I'm not saying that they'd have to match the knock offs dollar for dollar, but if the difference is a negligible, people will opt for the name brand.

 

[Ckanderson]

yes but not by much (50% mark up is within that unless material prices have cut into that but forgive me I have not checked).

Greddy was doing nearly a 200% markup! The only place I seen that type of stupid markup is in the furniture industry and how they get away with it is beyond me.

Car parts? Nah man. I mean the price of the TD06 Turbo kit for our cars has GONE UP not down as normally is the case. It has never went down.

why would it go down? every manufacturer rasies prices each year, the dont lower them.....

and you would be suprised the markups lots of these companies run.. 200 percent isnt uncomon dude.

 

[Pernilongo]

It's not easy to pay around 5K for a turbo kit and put it in a car that you bought for 3 or 4 thousand. Plus a lot of car makers stoped making "tuner" cars. Toyota is a family car company now here with some pseudo sports models like the matrix, and no turbo-models offered at all. I would believe its difficult for Greddy or HKS to make proffit selling to a small group of inthusiasts like us. Somehow it turned around that tuners are mostly low income teens and those with money buy porsches (as an example) and don't spend money on tuner parts. From a business point of view those that a capable of paying for qualty parts from Japan and that are into import tuning constitute very small percentage from the whole aftermarket industry. There are alot of variables to what is happening to a tuner market . Just a point of view, maybe i'm wrong on all points.

P.S. Why buy a toyota engine and stuff it with knock-off junk? The only reason women buy the real designer outfits because they think of them selves worthy of it, because they think that they are the real deal also. The moment they will start putting knock offs - the self esteem will go down. There is a reason why everybody wants an engine from a Supra or an EVO or MR2 or what ever else that is reputable, not from a Taurus, but at the same time don't want to pay for reputable parts? I spent a week trying to seal a knock-off catch can with silicone, now i wish i payed a little more and saved time and avoided frustration. I put my vote for real JDM parts.

 

[IJ.]

A lot of these manufacturers view their products as "boutique" parts and charge ridiculous prices, all of the "Tuner Crowd" see them as a badge of honour that they paid the price and have the stickers.

There is NO REASON after the initial development costs have been met to keep charging these idiotic prices, DUH the majority of people buy on price and will buy the knockoff part......

Greedy would be the more correct spelling.

 

[Dunckel]

I won't buy knock off's ever. I love my authentic Greddy and HKS stuff.

 

[Pernilongo]

A lot of these manufacturers view their products as "boutique" parts and charge ridiculous prices, all of the "Tuner Crowd" see them as a badge of honour that they paid the price and have the stickers.

There is NO REASON after the initial development costs have been met to keep charging these idiotic prices, DUH the majority of people buy on price and will buy the knockoff part......

Greedy would be the more correct spelling.

I agree, the prices are IDIOTIC. Japan is a very expensive country and a different pricing policy is needed for other countries and markets.

 

[figgie]

why would it go down? every manufacturer rasies prices each year, the dont lower them.....

and you would be suprised the markups lots of these companies run.. 200 percent isnt uncomon dude.

Really?

ATI Dampner.
I still have teh $900 bill to get that going. Now it is at what? less than $400?

Once R&D money is recouped (at least that is a hopefully). Prices always come down. That is one of the things about mass production. Prices WILL always comes down. Now If we as the consumer see that price reduction is a different story (which in ATI Performance case, they passed on the saving to us).

 

[iwannadie]

The difference on that is that people WANT the real deal. Woman dont want fake Gucci they want real Gucci purse same with Louis Vuitton etc.

When it comes to performance parts people want the cheapest they can get, rather than pay the hefty MSRP for an HKS parts or Tanabe etc.

I dont think thats the difference at all, plenty of people by knock off clothes just because they look real. Some people dont care if the bag is fake, as long as it looks real they want it.

I think the failure of the gucci analysts is the R&D costs involved with a gucci bag compared to a turbo kit. It doesnt take that much money to throw some fabric together and call it a bag in comparison to car parts.

Cheap people will always throw quality out of the equation when buying stuff and go for whats cheap.

 

[Ckanderson]

Really?

ATI Dampner.
I still have teh $900 bill to get that going. Now it is at what? less than $400?

Once R&D money is recouped (at least that is a hopefully). Prices always come down. That is one of the things about mass production. Prices WILL always comes down. Now If we as the consumer see that price reduction is a different story (which in ATI Performance case, they passed on the saving to us).

thats a custom one off part you had them made, entirely different then the company designing it and selling it to the masses.

 

[Poodles]

I think everyone is missing another very important point.


The OEM's actively try to discourage modifying. Through their computer system or making things complicated (like the new GT-R's turbos) it makes it MUCH harder for the tuner companies to do anything.

 

[figgie]

thats a custom one off part you had them made, entirely different then the company designing it and selling it to the masses.

You are aware that the dampner in question for the 7m is the one that Summit, Jegs and any other dealer that resells ATI parts sells? Yes, that dampner. It might have been 1 off when I bought it but now it is a stocked item for most companies that deal with ATI products. Thank the other folks like Duane and IJ that paid for the higher priced unit to sink the prices down to mass produced levels.

 

[IJ.]

For my small part I was happy to pay a premium as you'd already paid the bulk of the development costs (made a nice change for me to be 2nd)

 

[figgie]

For my small part I was happy to pay a premium as you'd already paid the bulk of the development costs (made a nice change for me to be 2nd)

Hey,

when I need something. I pay for it. If it does not exist, well, I will make it exist! lol

 

[IJ.]

Timing sucked a little though as I'd bought a new oem one 4000 Km's before

 

[figgie]

Timing sucked a little though as I'd bought a new oem one 4000 Km's before

and how can I forget that!