I'm writing a report for class on the Honda Fit, and for part of it we are supposed to use the cost of making the product to analyze cost/pricing strategies. I know no one knows the exact amount, but from your experience how much do you think it costs Honda to build a Fit? Can't find the info anywhere on the net, and I thought if anyone would have an idea they would be here!

Thanks!

 

Thats a very good question.
Just a guess but maybe 12k, but yeah im just guessing.

Tyler

 

Generally speaking the labor and materials required to build a car is about 1/3 of the list price. Some years ago I could actually verify that: the cost of just assembling a major Detroit $33000 vehicle was 11,500. If that sounds ridiculous take note that does not include the costs for research, marketing, management, or engineering. It is just the sum of purchased parts and the manhours of labor required to assemble. There has been an old rule derived from the beginnig of the industrial revolution that the sale price is 1/3 fabrication, 1/3 engineering, research, and marketing; and 1/3 management and profit. I would not be surprised nowdays to find the fabrication portion lower than 1/3. You can of course find a lot of data on the manhours required to assemble a vehicle.
Good luck.
You might find tracking down that principle into the 1700's a bit more enlightimg. Good luck.