Have you ever wondered why speaker manufactures do not consign speakers to dealers?

Q- How can you net $1 million in the high end audio business?

A- Start with $2 million. 

@larry5729

I attend open houses in our neighborhood and I have yet to find a home with even two speakers in either their family room or living room.

That's interesting.

My guess is that there’s rarely any capital at risk with regard to getting what a dealer has IN a stock item OUT of it, so I’m not sure what the purpose of a consignment would actually be except to entice undercapitalized dealers to carry lines they shouldn’t. To keep the doors open dealers have to find something to sell that they can make a decent profit on so when a dealer goes belly up the causes are usually complicated and rarely have much to do with not being to get cleanly out of particular purchases of demo items.  Manufacturers are sometimes MORE on the hook because bad accounts go bad gradually, then THEY are the ones who can't get back their money from a bankrupt dealer.

My go-to dealer is 1500 miles from my home.  I recently was interested in some $12,000 speakers he sells and he shipped them to my home.  My only obligation was to pay for shipping if I didn't buy them. I ended up not buying and it cost me a few hundred dollars.  I really like to hear speakers in my home, not a dealer's room, so this worked well.