Massi
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For me the intrinsic value of the watch
is its production cost, factored in the part of R&D and all machines and whatever you want to add that contribute to its production, but not the costs associated to its marketing.
My willingness to pay is my subjective value for that watch.
What is "Intrinsic Value" of a Watch?
I will admit it! I don't know what the heck the definition of "intrinsic value" of a watch is and what constitutes "intrinsic value" of a watch. I have read and heard it mentioned by many several times and there seems to be no consistent defintion which b...
" Intrinsic Value "... That is such a subjective topic...
We have all a different approach of what is an intrinsic value. When it comes to watches, I would say: 1/ Is the watch " well thought "? ( Conception: What is the idea behind the watch? ) 2/ Is the watch well made? ( Finish, presentation, decoration ). 3/...
Thansk for this Nico
I can align with and fully are agree with your 3 anti-intrinsic value points. On your 5 points of what constitue for you intrinsic value, I can only readily agree with 2 and those having to do with movement and finishing. The rest I fear provide great fod...
I lliek to think that the pistol Uma is twirling
is for the posers faking it LOL... YOU WANT ME TO PAY WHAT?!!!!!
This is a superb PuristS question Arthur, and I know exactly why ...
... you are struggling to find the answer. It is because there is no strict definition of intrinsic value when it comes to watches. It is something that only you can define (and quantitate) for yourself. Sure, as collectors we have areas of agreement, but...
Thanks Andrew
It seems to me that you and Mao are pointing towards intrinsic value as being some kind of premium over market value that an individual will place?
instrinsic value = depends on how much u can sell it NOW
e.g. Intrinsic value of the ferrari, hand-bag, that IT shoe..
Exactly the opposite of how I use the term...
Hi, I've used intrinsic value in many of my discussions on the "value" of timepieces (in fact, all "collectibles") and gone so far as to define secondary (or "derivative") concepts based on intrinsic value as one of the determining variables. At any given...
Thomas, just from your post here in isolation
it seems like if we had to tag a monetary value to your definition of intrinsic value, it will be some premium over the market price which as you say is decided by market forces and this is decided solely on the individual buyer through some logic or lack...
I think there's two notions...
...being discussed in parallel here. One is "how to define Intrinsic Value', the other is 'how to measure or scale it'. An irrational hobby trying to be defined by an ambiguous concept? Fraught with problems. It's all in the context.
intrinsic value = market value - price paid
If its not equal to market price right now, you're making a loss, period. Nothing can change this fact. So the lowest-bound price is the market price anyone can sell it at. This means almost ALL of the watches out there, and OTHER fellow "It-Items"; limit...
"it-item" = buzzword or lingo.
Hi, I understand your point of view on this (I think) your valuation theory is either tautological (it is because I define it that way, so therefore it cannot be disputed) or commodity based, which assumes near-perfect substitutibility, of either the item...
Intrinsic value need not equate to market value
I will give one example. My recent fascination with vintage Omega Constellation C's. prompted my search and some research. Back in '66, these were sold for USD 1 K and $ 100 more expensive than the Rolex day date. The current market value is about the pri...
Not to be contrary....
but "intrinsic value" is usually only discussed when a collector thinks that he has paid or is being asked to pay too much for a collectible item. Perhaps another purchase cannot now be made. Perhaps the collector has sufficient funds for other purchases,...
Thanks Ginger. Your statement
"Perhaps the collector has sufficient funds for other purchases, but he feels taken advantage of or annoyed" resonates with me unfortunately and while I can and have chosen to just walk away, that it is so rampant in various forms is a big contributor to ...
That's basically it in a nutshell, Arthur. The rub . . .
. . . as it applies to vintage is the proliferation of variables to consider. The spread between the market and intrinsic values of a 14060 Submariner is minimal because market conditions are largely transparent. With vintage, it's a completely different ...
It does indeed Art and your points on rarity, originality, condition etc
for vintages make a lot of sense and help me relate much better to the concept of intrinsic value which at the end of the day is very much self defined.
"intrinsic vlaue" = value contained or represented in the item, to the individual
Considering it, whether in contemplation or for acquisition or deaccession. It does not have to comparative or relative. It can be greater than, or less than, "market value" Rolex has a certain "market value" which doesn't equal its intrinsic value to me ...
But if its personal and subjective and there is no defined standard
how then does the second or third market value it? Not sure I am reading your intent correctly.
they don't and that was my point.
there are some common foundations of intrinsic value - "finishing" (even though the perceived level of finishing could be subjective but also commonly understood, its "value" is entirely personal) for the most part intrinsic value is PERSONAL I think we a...
Some variations on this theme
The discussion of course needs to be framed by the definition of "intrinsic" and even perhaps "value" but let's not over complicate things. Here are two core definitions of intrinsic value based on two somewhat varied definitions of "intrinsic": 1. At it'...
Thanks for chiming in Nomer
Good to know that once in a while I can start a post of some interest. I agree with your point on the auction or transacted price as a good indicator of value BUT I am thinking that intrinsic value is the premium one places over the market value of a watc...
2 ways to look at this
There is the monetary value, basically what someone will pay for it, be it new or second hand. The other value is that vested in it by its owner, be it sentimental or such My 2p Cheers Tim
Intrinsic value applies to many things
Price that you paid (you have doubt whether you paid the right price)=price you perceived subjectively as right price + intrinsic value (this can be anything in any form which can only be subjectively justified by yourself). At the end of the day, you use...
What people would pay for it if the company lacked a marketing department?
It's hard to determine that number, but I think it's a useful thought experiment. Here, I include not only the standard in-house marketing department for new products: I include brands' efforts to support their products in the auction and secondary market...
I can read but cannot respond to PM's...so to those who have PM'd me
Hi, 1. Sorry about my poor choice of words 2. thank you for your concerns Cheers, TM
I appreciate all PM's and emails about the misunderstanding.
for those of you who pointed out my poor choice of words and how easily they were misunderstood, thank you, I appreciate the concern, and most especially I appreciate the benefit of the doubt from those of you who do know me and know that I am not one to ...
I like that - looking solely at the watch [nt]
No message body This message has been edited by amerix on 2011-10-11 09:38:45
"intrinsic" does it really mean the lowest price I have to take?
or could it be that, as Thomas said, there is an arbitrage situation in play here? When I was in the car value / price guide business, we would say a 2000 Subaru WRX was worth $$ in California, but $$$ in upstate New York. NY has bad weather, snow storms,...
There is so many $$$€€€¥¥¥£££ that my eyes go %%%{{{###***~~~
But very sound logic. Best, Horo
For me the intrinsic value of the watch
is its production cost, factored in the part of R&D and all machines and whatever you want to add that contribute to its production, but not the costs associated to its marketing. My willingness to pay is my subjective value for that watch.
LOL!
What fancy terms we assign to simple notions Like, its not an apple we eat, but a creation of god born out of fertile soil, nurtured with the tears of heaven and the light of the universe till its becomes a vivid shade of mercury we call red... It's a dam...
everyone on this thread or not on this thread should cheer up!!
..intrinsic value is defined differently by everyone. I personally seriously dont want to spend too much time thinking about at what level of intrinsic value each of my watches achieve, that is some bollock story that i tell myself and comfort myself, LOL...
Pardon my ignorance as I did not clearly..
..understood your ramblings, arthur especially when you are still recovering from being horo fatigue..
Ok... you sound so serious, it's ok. Pls don't respond. Gosh.
Have a nice day arthur.
A vintage perspective
I hesitate to add another thought here, so much has been covered and many very lucid points made. My area of interest is in vintage watches and so my comments can only be about those, but maybe I can add some extra concepts to the mix. First, I haven't co...
Thanks for this Ubik. Very insightful.
It also touches on another thread I started on wanting to learn more about vintages so double benefot for me. Thanks.
The intrinsic value was always there ...
Thanks Ubik, Great addition to the discussion. The intrinsic value in the JLC military watch was always there, it just wasn't recognized widely. As more information becomes available and more people are interested in the watches the monetary value increas...
