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Cost Plus

topic on 2 shows · 3 statements across 3 episodes

Sourcery How I Built This

3 statements about Cost Plus, every show

SOURCERY Insight
Cost-plus contracts incentivize defense primes to maximize costs and avoid commercial components
“If the incentive is, no matter what it costs you, I will give you 10% on top of that, that's your profit. Well, 10% of three billion is a much bigger number than 10% of a hundred and fifty million. And so, as a traditional prime, you are deeply incentivized to…”
Kyle Harrison Apr 29, 2026 ▶ 27:42 300 Pages on Anduril: Inside Modern Warfare · Sourcery with Molly O'Shea
HOW I BUILT THIS Insight
Startups cannot achieve volume using cost-plus pricing
“You're not gonna get to volume if you just overcharge or charge, you know, kind of cost plus.”
Jamie Siminoff Aug 22, 2024 ▶ 28:47 Advice Line with Jamie Siminoff of Ring
HOW I BUILT THIS Assertion Not checkable as stated
Numi generated over $100,000 in retail orders during its first year.
“I would say over a 100,000 when we look at some of the chains that we got in, like Sur La Table and Neiman Marcus and Cost Plus and Rainbow. I would say over a 100,000 for that year.”
Ahmed Rahim Jul 5, 2021 ▶ 40:51 Numi Organic Tea: Reem Hassani and Ahmed Rahim

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