The estimated manufacturing cost of a pair of Nike shoes in Asia is around $25-$50, according to a breakdown by a supposed industry insider. This includes roughly $12-16 for materials, $8-10 for labor, $2-3 for factory overhead, and $3-5 for freight/shipping. These figures are presented as educated guesses based on experience and don't account for research and development, marketing, or other business expenses which significantly contribute to the final retail price. The author emphasizes the difference between manufacturing cost and the retail price, highlighting the significant markup driven by brand value, marketing, and other factors.
The Substack post "Photographs of 19th Century Japan" showcases a curated collection of images offering a glimpse into life in Japan during the Meiji era and late Edo period. These photographs, many hand-colored, depict a range of subjects, from landscapes and cityscapes to portraits of individuals and scenes of daily life. The collection illustrates a period of significant transition in Japan, bridging the traditional world with the burgeoning influences of modernization. The curated imagery emphasizes the beauty and unique cultural aspects of Japan during this historical timeframe.
Hacker News users discuss the captivating nature of the linked photographs, appreciating the glimpse into everyday life in 19th-century Japan. Several commenters express fascination with the clothing and hairstyles depicted, with some noting the apparent mix of traditional Japanese and Western styles. The quality of the photographs, especially considering their age, is also a point of admiration. One commenter points out the poignancy of these images, representing people who lived entirely different lives, yet shared the same human experience. A few users share links to related resources, including other collections of historical Japanese photographs and information on the photographic techniques of the time.
The Ryugyong Hotel in Pyongyang, North Korea, nicknamed the "Hotel of Doom," remains unfinished and unopened despite decades of construction. Recent photos offer a glimpse inside the colossal 105-story pyramid-shaped structure, revealing bare concrete interiors and a lack of fixtures or furnishings. Although exterior lighting and some window panes have been installed, suggesting intermittent progress, the building's interior appears far from completion. Originally envisioned as a symbol of North Korean ingenuity and a luxury hotel, the Ryugyong Hotel has become a notorious symbol of the country's economic struggles and broken promises.
HN commenters discuss the Ryugyong Hotel's history, noting its construction coincided with the fall of the Soviet Union and subsequent economic hardship for North Korea, halting progress. Some express skepticism about its true "emptiness," suggesting possible internal use by the regime or as a surveillance hub. Others point to the hotel as a symbol of North Korean propaganda and failed ambitions. The practicality of its pyramid shape is questioned, with comments suggesting its form was chosen for symbolic, not functional, reasons. The discussion also touches on the challenges and ethical considerations of tourism in North Korea. Several users highlight the difficulty of verifying information coming out of the country.
Summary of Comments ( 45 )
https://news.ycombinator.com/item?id=43631543
HN commenters discuss the complexities of calculating the true cost of Nike shoe production. Several point out that the $20 figure cited by the original Twitter thread likely only represents direct labor and material costs, neglecting significant expenses like R&D, marketing, shipping, tariffs, and retail markup. Some commenters with manufacturing experience suggest a factory cost closer to $30-40, while others argue the true cost, including all associated expenses, could be much higher. The thread also touches upon the difficulties in accurately assessing factory conditions and worker treatment based solely on cost estimates. Finally, some commenters express skepticism about the overall business model of high-priced athletic shoes.
The Hacker News post "How much do you think it costs to make a pair of Nike shoes in Asia?" generated a fair number of comments discussing the cost breakdown of manufacturing Nike shoes. Several commenters focused on differentiating between manufacturing costs and other associated expenses.
One compelling line of discussion revolved around the distinction between manufacturing cost (materials and labor) and landed cost (which includes manufacturing, shipping, import duties, and other fees). A commenter estimated the manufacturing cost in the $10-20 range, while acknowledging that the landed cost could be significantly higher. Others agreed with this assessment, emphasizing that factors like tariffs and shipping could easily double the cost.
Another commenter highlighted the different tiers of shoe quality and corresponding manufacturing costs. They suggested that a basic, simple running shoe would likely have a lower manufacturing cost than a more complex design involving advanced materials and construction techniques. This introduced nuance into the conversation, suggesting the impossibility of a single definitive answer to the original question.
Several users discussed the markup on Nike shoes, comparing the estimated manufacturing cost to the retail price. They pointed to the high profit margins enjoyed by brands like Nike, attributing this to factors such as marketing, research and development, and brand recognition. This thread touched upon the value consumers place on branding and the economics of the athletic footwear market.
A few commenters also mentioned the potential variations in manufacturing costs across different countries in Asia. They alluded to differences in labor costs, materials sourcing, and factory overhead, suggesting that the specific location of production within Asia could influence the final cost.
Finally, one commenter offered a more detailed breakdown, suggesting a $5 figure for materials, $3 for labor, and $2 for factory overhead, arriving at a $10 total manufacturing cost. While not definitively verifiable, this provided a more granular perspective on the potential cost components.
Overall, the comments section provided a lively discussion of the various factors influencing the cost of producing Nike shoes in Asia. While no definitive figure was established, the comments offered valuable insights into the complexities of global manufacturing, cost breakdowns, and the economics of the athletic footwear industry.