Posted by richardandtracy on 14/06/2017 12:32:48:
My gut feel is that the result is too HIGH.
Reason being that the US culture seems to be far more self reliant and mechanically aware than what I see in the UK. I work at an engineering company with (it varies) about 60 employees. Two of us have any machine tools at home. The last place I worked, it was none. That's in the engineering business where people are more mechanically aware than your average McDonalds assistant.
Regards,
Richard.
Could be, except you can do another guestimate based on how many mini-lathes a business would need to sell to avoid bankruptcy.
Say the firm has 5 employees costing £150,000 per year to employ. Accommodation and other overheads might add up to an operation costing £300,000 per year before they've sold anything.
Now, if a £600 mini-lathe costs £300 to buy and import from China, then the company would have to sell about 1000 mini-lathes per year to break even. So the existence of 3 or 4 sellers would suggest a UK market of at least 4000 mini-lathes per-year.
As Jason correctly points out, the container calculation could be seriously adrift. However, bearing in mind that this turn-over based estimate is also very crude, it's interesting that the results are in the same ball-park. (3000 and 4000 UK mini-lathes per year. )
I don't know how much it costs to bulk buy mini-lathes in China. I doubt the retailers would wish to make that public because it might seem they're profiteering. Actually I'm not horrified: their costs in the UK are significant, they have to cover the risks, and it's important to make a profit too.
Dave