Cable Costs Relative to System

hi mitchlib:

you raise a basic question: what is a businessman's fair profit ?

have you ever owned your own business ?

as a business owner, with all of his/her fixed and variable costs, what do you think is necessary for a businessman to charge for his product to remain vaible, in relation to all of the costs expended to maintain his operation ?

hello I have read your trend and the topic similar to the one I raised cables are really the worst investment and if you only knew the mark up on cables in some cases up to 80%. In the audio sales industry it's called paying the rent and keeping the lights on. Many view spending thousands of dollars on cables as the norm . I assure you it's an audio placebo for some it's enough to cure the problem and for others the problem is still there. I have two systems a solid state system and a vacuum tube system I'm not sure what a digital system is? I guess that means a cd/sacd/dvd-a player. I initially said worst investment with a return on the dollar of less than 50% when you start selling your cables you'll find out it's much less. think about in these terms if the retailer purchased the cable back from you at 30% of what he sold them to you in the first place he would be just breaking even as if he was buying them new from his supplier. in used audio market cables are considered used and audio equipment is considered vintage. in the vintage audio market you will realize higher returns in most cases and profits on some rare occasions I can't say the same for cables. I wish you luck on your decision. I guess the 10% rule is better than 50% rule especially when the cable retailers apply the 80% mark up rule with the return on your dollar of less than 40% rule.

TEN YEARS lATER (i posted on this thread ten years ago!)
I have changed everything in my system.
My current two channel system is (money I actually paid) $25,000. for only the stuff of a two channel system. I calculated the additional cost of what i paid for ALL cabling for said system and it is: $2,500. A miracle. 10%. Then i also have power conditioning, and that is an additional 10% of total two channel system I paid. (though the conditioning is also part of the surround/video system)
So I would put the actual cost of ALL cabling of the two channel, plus half the cost of the conditioner, so it is 15% total actual cost over the actual cost of my two channel system.
I use the mainstream stuff. Kimber mostly. and Pangea power cords. The Pangea are a great value by the way. not cheap, but not expensive either, but well received.
The arguments are STILL the same between naysayers of a wire is just a wire, and the folks who say spending kilobucks on wire is the ONLY way to go.
What has happened is the naysayers are just not crabbing at the kilobuck wire folks anymore. They have given up. (probably because they have found it is like yelling at a brick wall, or? because they found out wires make a difference?)
I hope i am in a middle ground. i find wire does make a difference, but Hell if i am gonna pay a lot for that last tiny percentile of effect.
So after ten years ,the story is still the same.
Hope i can pop in another comment in ten more years.

Elizabeth, in 2005 I posted;

To answer the original question, in general I believe you can get the job done pretty good at about 10 percent of system cost, and no higher than 25 percent. Beyond that, I would probably start replacing components or speakers.

I just calculated the retail value of my system at around $50,000, of which the cables are about $4,000, or just about 8 percent. I have gone to DIY mostly made with high quality bulk cable and some of the best connectors available. I also have some DIY made with raw materials but, I generally like the bulk cable variety better. My only remaining manufactured cables are two Isoclean PC's I picked up with an amp purchase. In comparison, I do not believe the DIY cables are at all inferior to some of the better manufactured cables I have tried, by Cardas, Purist, Acoustic Zen, Harmonic Technology, Audioquest and others (no, I haven't tried them all). I still believe the bigger bang for your buck is in the components and speakers, and would allocate maybe 10 to 15 percent for cables, and another 5 to 10 percent for isolation and room treatment. Of course, buying used and DIY can reduce those numbers.

I have a coil of 200ft of a quality Belden Teflon shielded coax (recommended by Jon Risch and a pile of Vampire RCA tiffany style connectors I have yet to put together. (Lucky me i bought the Belden before the big price increase in Teflon products, and the seeming disappearance of 'by the foot' Beldon esoteric products)
Since i am so lazy.. I never made the interconnects. I even have a template I made to hold the RCA and wire to solder with Cardas solder (which i also still have!)
Maybe i should get off my arse and make the cables...
When I was MUCH younger I made some interconnects like 30 years ago with Levinson branded teflon coax and cheap Radio Shack RCAs. (I still have them but not using them)
One thing is making a good power cable can be just as expensive as just buying a readymade one like the $70 cords. (I also made a bunch of powercords with Wattgate and shielded Belden, but the Pangea turned out to be better in my system.)