Why is tough guy so expensive

We just need to provide him and let him express his quality. Guardiola was disappointed to miss out on silverware and, like most European managers, sees the Community Shield as a legitimate fourth trophy.

But with so many players only just back at the Etihad Campus after big roles at Euro and the Copa America, even he might be considering this match to be little more than a glorified friendly. From the sidelines, Guardiola looked like he was having a relaxed afternoon in loose-fitting t-shirt, cargo trousers and sockless sneakers; Brendan Rodgers opted for a smart, navy suit and tie and crisp, white shirt. Eighteen-year-old winger Sam Edozie was handed a first-team debut while fellow academy product Palmer was given just the second start of his City career, and both impressed at times.

But there are many reasons to question the widely held notion that high drug prices and innovative research are inextricably linked. The most telling data on a disconnect between drug prices and research costs has received almost no public attention.

Peter Bach, a researcher at Memorial Sloan Kettering, and his colleagues compared prices of the top 20 best-selling drugs in the United States to the prices in Europe and Canada. They found that the cumulative revenue from the price difference on just these 20 drugs more than covers all the drug research and development costs conducted by the 15 drug companies that make those drugs—and then some.

More excess profit comes from the next or brand-name drugs. Drug companies tend to say they are unique in needing to spend a higher proportion of their capital on research than almost any other industry. But of all the companies in the world, the one that invests the most in research and development is not a drug company. If you watch television, you know part of the answer to where this extra money is going: sales and advertising. Of the 10 largest pharmaceutical companies, only one spends more on research than on marketing its products.

There are several reasons to suspect that number is unreliable. Tufts also uses a cost-accounting methodology that appears to significantly inflate its estimate. Tufts uses an interest rate of That one change would reduce the Tufts estimate by about a quarter of its total figure.

But in November , a study published in JAMA Internal Medicine examined the costs of developing 10 cancer drugs approved by the FDA from to and provided a strong contrast to the Tufts study from a year before.

Its authors, from Memorial Sloan Kettering and the Oregon Health and Science University, used annual financial disclosures from the Securities and Exchange Commission for companies that had only one cancer drug approved but had on average three or four other drugs in development. They found that companies took an average of 7. Pharmaceutical companies often claim that the research costs of unsuccessful drugs also have to be taken into account. After all, 90 percent of all drugs that enter human testing fail.

But most of these failures occur early and at relatively low costs. Of the drugs that clear this first phase of testing, about 70 percent fail during Phase II studies, which assess whether a drug does what it is supposed to do. The JAMA Internal Medicine study incorporated all research costs on drugs not yet on the market into its final calculations.

But cancer drugs, specifically, do have a success rate of 20 to 25 percent—so the selection of only successful companies does not seem to be the difference. Other costs included manufacturing, finance, IT, taxes, and more. This funds research on candidate drugs, which result in one or two FDA approvals a year. After all, the movement is arguably the most interesting part of a mechanical watch.

With a comprehensive redesign and high-tech materials, they make tourbillons to perfection. Their tourbillons are clear proof of their dedication to advancing haute horology. Everything about the movement in a Richard Mille watch is intuitive and designed for high impact reliability. If you need a mechanical watch for an apocalypse, Richard Mille better be the one.

As you have probably figured out by now, making a Richard Mille watch is complex and very time-consuming. Most of the work is done by hand! It also comes down to exclusivity. If you make a ton of watches every year, it loses some of its mystique. As such, Richard Mille makes less than 5, watches per year.

While that is not exactly a small number, especially for such a young brand, it does keep things very exclusive. The demand far exceeds the supply each and every year, which keeps people craving for more. Many models are produced in a limited edition as well, which amplifies this effect. All in all, scarcity is a very smart marketing tactic, which leads us to our final reason for why Richard Mille watches are so expensive.

Richard Mille watches only adorn the wrists of the most elite members of society. It has become the ultimate expression of wealth in the watch industry.

While the watches are very impressive in design, engineering, innovation, and so on, the marketing of Richard Mille has been pure genius. It is arguably the main reason why they can command such high prices.

You know if you have a Richard Mille that only other people like you can afford one. By wearing a Richard Mille, you are stating that you spent big money on it. It has become the highest status symbol in the watch industry, right alongside Patek Philippe. Even more so just for the fact that people know you spent a boatload for a Richard Mille and only the richest of the rich and famous celebrities wear them.

Put simply, you are paying a massive premium just because of the Richard Mille name and reputation. Whether you like the watches or not, just knowing that someone has that much money to drop on a watch is impressive. This is undoubtedly a tricky business model, but Richard Mille pulled it off remarkably well.

From a technical complexity, visual finishing, and avant-garde exotic material point of view, Richard Mille stands above and beyond the rest. They do things no one else has done in the watch industry and they have built an unrivaled reputation of elitism. So, whether or not Richard Mille watches could or should be priced less is irrelevant. The brand is not just exclusive, but the products themselves are too.

We say, absolutely! After all, we sell Richard Mille watches! What we can say is, a Richard Mille gives you a special feeling, almost like a huge ruby or sapphire does. The price feels justified.