Originally Posted by EDXR8
How about $800 list price for a V8 starter motor, or $120ea rocker cover gasket. I only get genuine parts because I get cost price but even then sometimes it is cheaper to go aftermarket for some parts. I don't know how they can legally charge the prices they do, but some people just pay them without thinking.
the reason they get away with it can be explained by section 52 of the federal trade practices act.(Oz)
This section covers price fixing, and conspiring to fix a price.
Many parts sold by aftermarket sellers are in fact genuine items...despite the packaging.
What must be remembered is most parts are made by 3rd party companies. Ford enters into a contract to buy X amount at a certain price, they also enter into a contract to permit the manufacturer of said componant to produce as many as they like under a design licence, which they can on-sell to any individual they like at what-ever price the manufacturer wishes. Normally the producer pays to ford a % for each unit produced of thier item.
Ford puts its price on the parts, and any other 'aftermarket' supplier is also permitted to do the same.
As ford are not controlling the sale value of the 'aftermarket' item, which came out of exactly the same mould, they are not breaching sect 52, therefore not breaking the law.
It then comes down to the consumer to Chase the best possible price for a product. Other considerations, are that different suppliers offer different warranties for the same product.
I worked for a rubber product company as a kid (no i never made condoms), and one of our convo's was the difference between what our boss was charging for one particular product and what it was available retail for...the boss was selling them at 9.20 and they were on the shelf for 109-140.....too many middle men there.
Its the old reccomendation to consumers....shop around!!