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AFAIK, motorola does make a small profit over the moto-g.They're not subsidizing it.

And online only without marketing can offer 35%+ decrease in price, which fits my comment.

It doesn't fit it at all Hershel. 35% makes a lot of sense relative to sales and marketing and channel costs. 3.5X the price of components with most of that being made up in marketing and offline retailer costs is a completely different statement.

35% is half of what's left after cost of components. i consider 51%(35%+) as most.

I think i missed something. I just looked at the book "from concept to consumer" and they give an example of a real product that sold at retail for $50(went to retailer through a distributor) while the manufacturer got only $19 ,i.e. 38%.

If it was online only, it could go for half the price , while offering 24% margin($6) for online sale and logistics(excluding shipping), which i believe is pretty reasonable for that market.

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