Classe move to China

And this is for Classe and others who will follow them. God speed their way to China or wherever else.
http://youtu.be/VohAxpboJAs

FWIW, my dog did an optional overnight at a vets recently for treatment for a minor infection and dehydration.

Cost: almost $400. For a dog. O love my dog, but still, for a DOG!

To me this was a clear indicator of how out of whack this countries priorities and social services delivery capabilities are.

Of course, high end audio affectionados like us know a lot from exprience about the economic perils of priorities that are perhaps a bit out of sync with those of the general public, right?

Thier decision is still about retaining/growing profit margin. No one's going to start and continue a business without wanting a "reasonable" if not "healthy" profit. One does not operate a business just to cover expenses. Profits fulfill many important functions especially future growth. Profit margins also act, yes, as a dipping pool for top execs. How much of a dipping pool this is and how much is dipped varies. I AM NOT AN APOLOGIST FOR BUSINESS. Kindly withhold any vitriol some of you may have from over-reacting to the opening of this note. Classe has issued price increases over time likely for the same reasons other businesses do so, increasing cost of labor and materials and their interest in retaining the margin. I suspect the decision also revolves around price point. Every item/service has a certain price point when exceeded results in lower sales. Most every consumer reaches a limit with a product's price save for those with money to spare or those who will purchase despite the price and their budget. Even the "best" electronic manufacturers in China with the most stringent oversight by the customer company still cost significantly less than manufacture in Canada or the US. This decision automatically increases their margin giving them longer term flexibility on pricing. Businesses are all about the numbers. Overall, I am definitely NOT pro business, but they do employ people. A double edged sword. It is a cutthroat environment. I am not a "high end" customer. Good for those who have the $ to buy the "high end" gear. Hope it all sounds great and meets your expectations. I think spending thousands on a piece of audio gear is funny. Classe's prices to me are funny. Just the same as buying a Benz or one of the other "high end" automobiles. I smile and chuckle when I pass one of these cars on the road. "Yes you are better than me, but I didn't spend the $ you did." It is all relative in the end. Classe does what any other "high end" auto maker does: they make a pretty package for a hi-performing piece of equipment. In the final analysis guys thier move remains a matter of THEIR benefit not yours. Bryston has 15 more years on their warranty than Classe. Hmm..... Emotiva has a 5 year warranty for goodness sake. For the prices Classe charges, since they call their products the BEST (from their website), one would think they could offer a longer warranty. My Hafler 9180 power amp made purchased in 1995 for $477 has a 7 year warranty! It has operated faithfully since then. For those of you so predisposed you may now chuckle. Classe amps likely sound "better" than my cheap little amp. Well good for them. In many respects the higher the price the higher the margin's made by audio equipment manufacturers. Once the circuit design has been created it's the can. Then parts vendors are sourced and manufacturing facilities and labor added. Year after year most "new and improved models" are likely not a significant difference over the previous. The price tag is and there's the trick play. Sometimes yes, "great sonic improvement" can occur. In high end electronics I am not convinced, but then again I drive a 2006 Honda Civic. "Wait for it, here comes the bru ha ha!" B and W the owner of Classe, is laughing all the way to the bank.

Veterinary medicine is where the money is at. Fee for service (no BS with heath plan reimbursement contracting or CMS), predominantly self-pay customers, and an increasing population of childless pet owners that become quickly attached to and lavish huge amounts of affection on their pets.

On another note, the Cleveland Clinic and top health care institutions in this country have programs for foreign VIP patients that include accommodations for family members at in-house or affiliated hotels, as well as other valet and hospitality services. It's an increasingly lucrative business model for these health care institutions given these patients (self-pay) are wealthy enough to afford health care anywhere in the world, and they still prefer to come to the US for their treatment.

Sure the new health care facilities they are building in Singapore, Thailand, and other places across the world look beautiful. They are wired and supplied with all the latest and greatest equipment, not to mention they are charging dirt cheap rates for services (enticing some US corporations to provide incentives in benefit plans to encourage their employees to seek care outside the US). Really though, how qualified is the staff and how good is the care?

In other countries health care is viewed as a social service (although some countries also have a hybrid model that includes a privatized element). Not here though, and that is representative of how our country and economy has evolved. Health care is just another business model and health plans are not committed to the community at large, but rather on shareholder value.

Fiddler,

I, like you, have a decent health care package so no, I wouldn't go overseas or across the border to get treatment. But the 40 million + who have no insurance would, it they could.

And don't forget there are folk with duel citizenship who regularly go overseas to their home country for the same service they would get here at a fraction of the cost or for nothing at all. They don't have to mortgage their life savings, their home, their kids future for what would be considered a routine operation.They are lucky because they can "afford" something that should be next to free just by accident of birth.

That reminds me: I have grandparents from Ireland and England (even my dad was born in England) so duel citizenship is available to me (1/4 Irish, 1/4 English, 1/4 French and 1/4 Swedish) and I could have access to all that Europe has to offer. Something to consider if it gets really hairy around here.