I was wondering how much it cost any one brand to make any guitar, such as the Les Paul for example (not to bash on Gibson). How much does it cost Gibson to make one of those? Are we getting ripped off? or are we getting a better deal than we know when we purchase a guitar?
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I actually don't think they're that cheap to make... I believe they cost a lot more for us than for Gibson, so to speak. But I don't know.
gibson, more than about anyone else, is ripping us off.
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Probably half the sale price
or maybe a bit less
they want to make a substancial profit, remember.
Well, its really pretty obvious that the bigger the organization, the bigger the cost. WIth all the workers and ****. Gibson is THE biggest guitar company on earth, and it really says itself that their guitars would be more expensive than they cost to be made percent-wise than a smaller company.

I dont think gibson are ripping people off the way some people seem to think. They might be overcharging a bit, but they're not ripping people off.
Not only does Gibson make a profit, but the store makes a profit on it, too. Then Gibson has to pay its wood suppliers, employees, for machine maintenance, supplies, general business supporting revenue, etc. They probably still make a substantial amount from each guitar, but it's not like there's $50 invested or something lame like that. Making a guitar isn't cheap.
Hi, I'm Peter
^ your right, by the time you incorperate all the costs, your standard Gibson probably costs $600 to make. Now, if standard markup applies, then your $2000 Gibson was sold to the store for roughly $1000. Therefore, once expences are in, Gibson makes $400 on the guitar. The store also has expences, once those are in, the store probably makes $600 on the sale of the same guitar. Same thign goes for every company that sells anything.
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stores buy cost, which is about 1/2 RRP and 2/3 street price. gibson is making a profit, obviously, but they have to pay wages, freight, materials, it's the same as anything you buy. are gibsons overpriced? yes, their profit margin is probably pretty decent. can you do anything about that? no, except try to find the cheapest price you can on the items you want
I think I understand more now, thank you for all of the replies. Please realize that I am not complaining, I am just curious. Thanks!
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Martha Stewart for UG President '06
Making a guitar in itself can't cost that much, but you have to realize that it's a fairly limited market - it's not like you sell thousands of them every day or something; well the factory might, but not any of the dealers, so they have to overcharge a lot. And then transportation - of all the materials, and of the guitars themselves - they're quite bulky and somewhat fragile so that's an expensive issue too...
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Gibsons are some of the nicest guitars around...I'm guessing a 1200(usd) dollar gibson would be about 600(usd again) to make... about half. The wood and the electronics aren't cheap... then you gotta pay your workers salarys. Unless there illeagles... so many of those ****ers...