I understand how people who aren't familiar with manufacturing type businesses or custom fabrication can say "It's just a metal tube, how come China can sell it so cheap. The US Manufacturers are just out to price gouge. Why would I pay twice as much for something because it's authentic, when i can buy a clone that says it's authentic for 1/10 the price?
The problem is, we are looking are lacking innovation and development and at least some of that is due to the market, the realistic market that's global. Cloning mods and developing, designing, testing, and then manufacturing mods are two completely different animals. China has really improved on the cloning side of things as well as manufacturing and technology and they're working on getting their raw materials up to par.
But the problem I see as being what will give our community the biggest hit, is the stifling of new innovative products. It costs a lot of money even if you don't figure it in dollars and count it as time someone spends on it, to release revolutionary, innovative technology. If someone was to develop a new mod or new vaping device of some sort, they could either make it on a scale of one or two, or try and produce it for the masses. If a person developing vaping technology, someone truly passionate about the hobby and community, and not charge a dime for all the time they spending creating and perfecting it. and with R&D and testing, etc, there is still the cost of manufacturing and distributing the product.
If there are no wages paid to anyone, said person who is making mods for free would still have to buy the raw materials upfront. To sell an authentic mod at a price most vapers buying mods would be happy with, we'll say maybe 5,000 units would be needed, that's really not enough to get prices where they need to be but it's all the capitol the bank will commit to with an unsold product. So Mr. Mod Maker would need to buy the raw material for those units up front, or else the discount people are expecting to get for a large production batch disappears. They would either need to hire a manufacturing company to produce them, or they could manufacture the mods themselves.
Manufacturing the mods themselves would be cheap on labor, but they are going to have to purchase or lease the equipment to machine the parts, pay overhead on the facility assuming it's someone like myself who has an office and shop sitting vacant on commercial property where manufacturing can take place, pay the sales and use taxes, purchase all the software needed, make or have someone make the appropriate tools and dies to machine the parts, cover enough insurance premiums to at least get the first batch out without being shut down, etc. Or they'll have to pay for the time and labor of whatever machine shop or manufacturing facility they hire, cover the tooling and machine setup fees, etc.
So now the mod maker has successfully made all that happen somehow and kept the banks financing the operating capitol off their backs long enough to get the first run produced and sent to the distributors with connections in the retail world. They manage to sell the mods for $50.00 each to break even for the initial investment. The first 1000 gets off to the distribution chain.
Now that there's an authentic best of the best top selling mod hitting the markets, a lot of buzz is created. While waiting on reviews to start coming back on that first 1,000 pieces, Mr. ModMaker checks out the forums, and sees the big news. "Vaper Billy Bob's Blog has just announced, Mr. ModMaker clones are being produced and sold for $20 with the discount code "ugotscrewed".
As a manufacturer considering using my skills, talents and equipment to produce vape gear and sell it at even cost because this is my passion, I see what happened to Mr. Modmaker when I attend an auction for machine shop equipment that his bank put on because he couldn't cover the huge upfront cost once Chinese clones hit the market.
Anyone with business experience will realize that dropping a couple hundred grand on manufacturing a product makes no economic sense knowing that you're releasing an innovative and original new design, long ago patented, into a market where China will have subpar quality clones made within a few weeks of your product launching. And launching with huge batches of products ready to ship doesn't do away with the problem, because many consumers will say "Wow if this is $50 I'm waiting on the clone, it will be really cheap if the authentic is so cheap."
Remember that the problem of a lack of innovation and new product designs isn't specific to any country of origin, China would clone Chinese companies in a heartbeat to make a few bucks, it's a different culture and environment with different laws, ethics, morals, social norms, etc. Just remember that when we drive a market like clones and counterfeits up by backing it with our dollars, we are pulling away from other parts of the market like product innovation.