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March 30, 2006

New production

Licensing product designs is the way to go. Well, not now but in the fututre when we have cheap ways to produce consumer goods. 3d printers? maybe.

Imagine if you will a  black box to produce objects based on a CAD blueprint supplied by and licensed from Nike, Coca Cola whatever - no secret formulas anymore but everybody has to pay a penny (or whatever) every time they want to use it.

This works out great because Reebok, Hilfiger etc. dont have to produce goods anymore. They dont have to worry about JIT resource planning, they dont have to build factories and pay insurance and all that crap that goes with producing consumer goods. They just R&D and market their crap.

The pressure is put on the owners and licensors of the designs - the owners of the 3d printers.

They pay a pittance every time they use the design to produce an object. They pay for their raw materials, the rent of the printer (if..), their own advertising, delivery and all that.

This means that the price of the final product is dependent on the costs of the raw materials, distribution etc. in the local area. The cost of the consumer product automatically stabilises around a point that the local consumers can pay.

And the Nikes, Reeboks, Hilfigers, Apple, Epson etc. of this world get a kickback from every product that someone else takes the time and trouble to make for them.

Pure. Profit.

If the consumer goods manufacturers of this world were clever they would pour every spare cent they had into the research and production of 3d printers, of Star Trek like matter condensers.

Essentially what we are talking about is turning their current income for which they have to work hard at every point into a passive income.

Plus, we the people get an easy way to produce things like farm tools, water sanitisers, shelters, furniture, TV's, computers and even more 3d printers!

And guns. There will always be guns of course.

Posted by dottie at March 30, 2006 4:48 PM

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