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Cost of engine rebuilds



 
 
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Old February 28th 04, 12:35 PM
Brendan Grace
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Good point, I didn't take into account the economies of scale.

Brendan


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...
It's a problem of economics, not technology. GM can go build 1,000,000
units of any given part, because they have that many in the field and
they know they will be able to sell them. Textron Lycoming is stuck
building many, many fewer than that. As the number of units goes down,
the cost per unit goes up to amortize the cost of tooling and production.

Airframe parts are even worse, considering how many plane models exist
that only have 1000 or 2000 examples ever built, and how few share
parts. Which is why there is no Kragen or Pep Boys for plane parts.


Brendan Grace wrote:
I've been pricing engine rebuilds and the costs from 15,000 to 20,000
seem ridiculously high. There doesn't seem to be that many more parts
or labour excesses to explain the prices. Anyone have any insights into
were all the money goes? I am really quite shocked at the high costs
for such a small engine (100-125 HP) going so high when it's old
technology for the most part. Not injected just a carb.





 




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