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Comment by bayarearefugee | Hacker News Reader

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bayarearefugee·

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Please don't post if you can't understand an example.

Its a patently ridiculous example that wildly misrepresents the actual situation.

You're just being pedantic for no reason - whether the profit is 100% or 200% or 5% it doesn't change OP's point.

Plenty of companies sell their product with 100% margin (look at in-house brands). Maybe not laptops, but this was just an example.

100% margin would be $0 of production costs. Essentially impossible for physical goods.

As an example, if it costs you $100 to make a product and you can sell it for $1000, you pocket $900 of the $1000 and therefore make 90% margin.

Yes, I think posters above are conflating margin and markup.

Markup is not the same as margin. Inputs would have to be free for 100% margin.

Then post a corrected example that proves your point?

The example described is >50% margin.

it was clearly just a random number for illustrative purposes.

It changes the entire economics when your random example number keeps things well within the realm of profit whereas the actual tariffs eliminate the entire current profit margin for almost every product in the category we are talking about.

You appear to appreciate the value of direct feedback. I hope you appreciate this direct feedback.

You could have made your point more effectively if you'd said something like "your math is correct, but it's important to keep in mind that the actual tariffs eliminate the entire current profit margin for almost every product in the category we are talking about."

Instead you began with a personal attack. It's hard for a discussion to recover from that.

It still illustrates the point since the numbers are just fractions. You're just being pedantic.

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