Originally Posted by
Tombie
That aside, as an example Drivesafe.
You spend a lot of time constructing and developing your product and assembling using AU sourced components etc.
This sets a price point you cannot avoid.
If you (example only) were to head O/S for production, and had your units made OS, the looms made OS, packaged etc they could theoretically be significantly cheaper. And would leave you solely doing R&D and distribution.
Theoretically this means either larger margins if sold for same pricing, or ability to price lower.
All of this comes at other “costs” obviously.
And that in its simplest form is why AU manufacturing faces massive challenges.
This is a simplistic example only - only highlighting the business cases and challenges to OS vs Local