Wednesday, June 20, 2012

LaRue increase prices across the board

via The Firearm Blog by Steve (The Firearm Blog) on 6/13/12

LaRue Tactical sent out an email announcing 7.5% - 12.5% price increase across all their product line. They claim it is because the government is printing a lot more money (by which I assume they mean inflation).

Normally I am a lot more diplomatic, but I am going to call complete BS on this.

Over the past year, in the United States, inflation has (officially) been stable, interest rates are about the same, steel is a little cheaper. I don't know how many raw materials, if any, LaRue imports, but regardless the USD has strengthened over the past year.

LaRue is a capital intensive company. Take a look at their facility.

I think demand for LaRue products has been high for quite some time, and is increasing, and they have determined that they can make more money if prices increase. I happen to love profit. I am pleased they are making a profit, I have no problem with this , I am expecting gun-related prices to rise over the next 6 months, this is Economics 101. What I don't like is companies claiming an indeterminable force, like the treasury printing presses, are forcing them to raise prices.

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