Why are models of cars so pricey?

Hi Gents,

I might be able to shed some light here. I was the Boys Toys Buyer for Toys R Us Australia for many years and I use to ask myself the same question.

The reason for the high costs these days is due to the below.

1. Tooling is extremely expensive whether it's die cast or plastic model kits.
2. Licensing fees are quite high involved with models.
3. Cost of production and raw materials in the Far East is extremely high these days.

A lot of die cast and plastic model kits will be minimal size production runs of 2,500 - 5,000 and a lot of factories don't even want to touch small runs and hence the high cost in cleaning and changing dyes etc..