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Well, I think maybe you aren’t seeing the real cost. The retail cost of parts is likely marked up quite a bit. My guess is that the actual wholesale cost for the parts are closer to $500. “…Wood, veneer, finishing supplies, screws, glue, and other miscellaneous parts probably bring the parts cost to 1750-2000…” ?? Again a gross over estimation. I’d say the cost for raw materials by a manufacturer are likely hardly another $500. Even a small time manufacturer can likely pull off a low material cost and I won’t argue the cost of labor but Garner, NC, I’m sure the labor cost value is relatively low. Electronic component manufacturers don’t make that much of a mark-up. I believe the reason is the enormous number of speaker maker competition. Its many times higher then any other part of the industry and they need to get a bigger piece of the pie? That and good old fashion greed by taking advantage of what they can, just as the cable and wire guys do. Scotty, those are similar arguments I use for the cable manufacturers.And again, a furniture finish has nothing to do with audio, I can give a rats ass about the finish and if I do that I’ll be the first to admit that these $5000 speakers are rally only $1500 in a $3500 peaty box to match my wife’s curtains. Sorry, that was my last toke!
Clearly, you've never built your own, complex speakers and used top quality parts and finish or you wouldn't think 700-900 for the cabinet parts is high. Also, retail or close to it, is what a company pays unless they sell large volumes, again review your economics.Regarding your comment that electronics manufacturers don't charge as much of a mark-up, i assume you mean large companies such as sony. If you think their mark-up is less than 2-4x, you're deluding yourself. The parts cost in an average $200 dvd player is likely less than 50. Even if the markup were lower, the volume of sales would make-up for the difference in markup. Thus, a large volume seller can undercut a low volume seller on price, see walmart for example (darn economics again).