Archived posting to the Leica Users Group, 2001/06/03

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Subject: Re: [Leica] Warranty & New vs. Used
From: Robert Clark <rclark@desupernet.net>
Date: Sun, 03 Jun 2001 15:54:30 -0400
References: <B73FC7DB.11B35%jbcollier@powersurfr.com> <5.1.0.14.0.20010603122805.00a84448@pop3.norton.antivirus>

Not to be hard headed, but.....obviously the parent company does
business with those who sell the items on the gray market.  The people
who sell on the gray market get their merchandise from somewhere.  I'm
just curious what the balance sheet at Leica or Nikon or Canon would
look like:

Items Distributed                                         XXXX
Items Distributed via official channels        XXXX
Items Sold to Other Folks                            XXXX
Items Sold to Gray Market Folks                  XXXX

Total of all Items Distributed.

My only point is that someone, somewhere, somehow is able to acquire
items at a price that's lower that the USA dealers.  Who are they and
how do they do it?  From what I know, gray market prices are often lower
than the genuine Leica USA dealer's cost.  Somebody's doing something
loosey goosey here.  Who?


"Kevin M. Bell" wrote:

>  At 01:05 PM 6/3/2001 -0400, you wrote:
>
>> Just wondering....if gear does not arrive from one country to
>> another through
>> "official channels," then how does it arrive?  The parent company
>> must be selling
>> it to someone who is not an official channel, right?
>
>
> Generally, gray market importers take advantage of differing exchange
> rates, countries that have few if any import duties, and so forth.
> One also sees companies set up as distributors in other countries, but
> they only distribute to their own company in the US.  They avoid the
> support costs that Leica USA has, and the inventory stocking costs
> that US dealers have.  The main reason Leica USA or Nikon USA (or
> whoever USA) object is that the gray market equipment can be sold for
> less than the dealers pay.  If everyone buys gray market, there are no
> more USA dealers.
>
> (No, I am not a dealer, although I played one on TV)   ;>)
>
> Kevin M. Bell
> www.Camera-Collectors.Com
>

In reply to: Message from John Collier <jbcollier@powersurfr.com> (Re: [Leica] Warranty & New vs. Used)
Message from "Kevin M. Bell" <newsgroups@camera-collectors.com> (Re: [Leica] Warranty & New vs. Used)