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Message: <blockquote data-quote="RJM" data-source="post: 1690247" data-attributes="member: 66340">Jerry, my understanding of the Japanese optics biz is that optical parts coming off the production lines are tested and binned (just like microprocessors are sorted by speed capabilites) with the very best quality destined for the premium optics we get now from some "alpha" and "beta" brands with those of lesser quality trickling down to the retailer "house" brands and "omega" rebranders. There apparently is now very little vertical intergration in the optics biz, with just one company/factory carrying out the entire process from design, manufacturing, assembly and packaging. I am pretty sure the Chinese factories follow/copied the same production model. Given the huge Chinese stimulus to keep their factories running despite the slack consumer demand, I expect we will start to see even more price lows in 2010 as inventories swell. Who know's, maybe we could even see new low cost series bins rolled out by the "alphas"! Also, the internet-based rebranders just don't have the overhead of the long established brands or optics bricks & mortar retailers so even with agressive pricing they can still turn 30%+ margins. Selling just 40-50 bins a month out of your apartment from a webstore can net $50K/yr in profits. And if you can get buzz up with some clever "viral" marketing watch how fast the $$ really piles up! But with price their only feature to sell through, these brands tend to fade just as fast as they rise. Sometimes I wonder if it not the same people churning the same products under different brands over the web? Once your brand loses its buzz, the entry barrier for starting a new brand is minimal afterall.:h?: All that said, I can appreciate the value the rebranders can deliver now. But I prefer to buy with an eye towards resale values. There are over 3500+ binoculars for sale on Japan's largest auction site. Yet week after week less than 100 items ever draw bids. Those that do are almost exclusively the global brand name binouclars that are well priced. The lesser known names even priced as low as 1 yen never get sold! So the lesson of "nothing satisfies like quality" needs the corrollary "nothing holds value like a global brand name." happy 2010!Rick</blockquote>

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