Kalashnikov, AK-47 Maker Bankrupt

Toggle sidebar Toggle sidebar
U

unokitty

Diamond Member
Jan 5, 2012
3,346
1
0
“Optimists these days learn English, pessimists learn Chinese, ... realists learn ... AK-47.” --Dmitry Rogozin


"The company that Czar Alexander I established 200 years ago to manufacture muskets in preparation for war against Napoleon, the company that Stalin ordered to make an assault rifle like the German MKb 42(H) during World War II, has been bankrupt since the spring..."

Photo Essay

Article



Does anyone know if bankruptcy in Russia is similar to what the US Airlines do? Or is it a more serious situation?

Uno
 
manimal

manimal

Lifer
Mar 30, 2007
13,559
8
0
They built them too well. There are millions in circulation and knock off cheap parts too plentiful.
 
PottedMeat

PottedMeat

Lifer
Apr 17, 2002
12,363
475
126
The head of Russia’s army noted that stacks of the rifle were already filling the country’s armories, outstripping demand “twelvefold.”
...
Plans call for destroying 4 million AK-47s by 2015.
Click to expand...

damn that's a lot.
 
Jeeebus

Jeeebus

Diamond Member
Aug 29, 2006
9,181
901
126
The head of Russia’s army noted that stacks of the rifle were already filling the country’s armories, outstripping demand “twelvefold.”
...
Plans call for destroying 4 million AK-47s by 2015.
Click to expand...

In for 1.
 
Texashiker

Texashiker

Lifer
Dec 18, 2010
18,811
198
106
manimal said:
They built them too well. There are millions in circulation and knock off cheap parts too plentiful.
Click to expand...

If that was the issue, then Remington would have gone under decades ago.

One major difference between Russia and the USA, Russia does not have a civilian market to support its gun manufacturers.

While Remington sales to the military and the civilian market, makers of the AK-47 in Russia sale mostly to the military.

In times of peace, the military can not buy enough weapons to keep the market afloat.

The makers of the Ak-47 are looking to the US cilvian market to stay in business. The problem is, the importers jack the prices up so much, AK sales go stagnant. Why should I buy an AK for $800 when I can buy an AR for the same price.

AKs need to go back to a reasonable price, and I bet people in the US would buy them by the truckload.

In 1985 Russian made AK-47s were selling for $75. According to this page, that same AK should cost $149.92 in 2010. The actual cost is like 5X that price.
 
Last edited:
manimal

manimal

Lifer
Mar 30, 2007
13,559
8
0
Texashiker said:
If that was the issue, then Remington would have gone under decades ago.

One major difference between Russia and the USA, Russia does not have a civilian market to support its gun manufacturers.

While Remington sales to the military and the civilian market, makers of the AK-47 in Russia sale mostly to the military.

In times of peace, the military can not buy enough weapons to keep the market afloat.

The makers of the Ak-47 are looking to the US cilvian market to stay in business. The problem is, the importers jack the prices up so much, AK sales go stagnant. Why should I buy an AK for $800 when I can buy an AR for the same price.
Click to expand...

Your point if very valid but the sheer amount of knock offs and the sheer volume of existing stock made their only line irrelavent. Its absolutely true that they never diversified enough to protect themselves from the inevitable.

Bad management has killed many a company.
 
Texashiker

Texashiker

Lifer
Dec 18, 2010
18,811
198
106
manimal said:
Your point if very valid but the sheer amount of knock offs and the sheer volume of existing stock made their only line irrelavent. Its absolutely true that they never diversified enough to protect themselves from the inevitable.

Bad management has killed many a company.
Click to expand...

A large part of it is due to import restrictions and the importer markup.

When an AK-47 is imported, X amount of parts have to be replaced with parts made in the USA. This drives the price up.

Take those 4 million rifles that are to be destroyed, dump them on the US market, prices will go down, people will buy them and everyone will be happy.

It is like when the SKS cost less then $100, people were buying 2 and 3 at a time. Now that an SKS cost around $300, sales have gone down. Why would something that was made 40 years ago, and has been in storage cost $300+ like the SKS.

The importers raise the price of the AKs to where the sales level out. Prices need to go down, and sales will go up.
 
BoomerD

BoomerD

No Lifer
Feb 26, 2006
65,809
14,222
146
ThePresence said:
Variations are also being built all over the world. Some licensed, some not so much.
Click to expand...

The true Russian-built AK's are far superior to the ones built in almost any other country. Accurate, battle-tough, almost never jam, tolerate terrible conditions without problems...Some of the knock-offs out there are absolute shit...but they'll still kill.

Obligatory:

https://www.youtube.com/watch?v=oIv_RrgCfWs
 
sdifox

sdifox

No Lifer
Sep 30, 2005
99,234
17,494
126
when some dude can build a cheap knock off in a cave with hand tools, you know your company is in trouble.
 
gorcorps

gorcorps

aka Brandon
Jul 18, 2004
30,739
454
126
Texashiker said:
If that was the issue, then Remington would have gone under decades ago.

One major difference between Russia and the USA, Russia does not have a civilian market to support its gun manufacturers.

While Remington sales to the military and the civilian market, makers of the AK-47 in Russia sale mostly to the military.

In times of peace, the military can not buy enough weapons to keep the market afloat.

The makers of the Ak-47 are looking to the US cilvian market to stay in business. The problem is, the importers jack the prices up so much, AK sales go stagnant. Why should I buy an AK for $800 when I can buy an AR for the same price.

AKs need to go back to a reasonable price, and I bet people in the US would buy them by the truckload.

In 1985 Russian made AK-47s were selling for $75. According to this page, that same AK should cost $149.92 in 2010. The actual cost is like 5X that price.
Click to expand...

True story. I also found the AK to be really uncomfortable and not all that fun to fire. After renting it I just went back to my AR. If the AK was <$500 it'd get a lot more sales.
 
GagHalfrunt

GagHalfrunt

Lifer
Apr 19, 2001
25,284
1,997
126
manimal said:
They built them too well. There are millions in circulation and knock off cheap parts too plentiful.
Click to expand...

Yep. A gun that lasts forever and a gun that has not really been improved upon in 40 years. Once everyone on earth has one you're out of business. Don't the Russkies know anything about planned obsolescence?

Figures, the only good thing that the USSR ever built and it comes back to bite them on the ass.
 
S

spidey07

No Lifer
Aug 4, 2000
65,469
5
76
GagHalfrunt said:
Yep. A gun that lasts forever and a gun that has not really been improved upon in 40 years. Once everyone on earth has one you're out of business. Don't the Russkies know anything about planned obsolescence?

Figures, the only good thing that the USSR ever built and it comes back to bite them on the ass.
Click to expand...

The history of that weapon as a liberator is second to none. I don't think there will ever be another like it.

I WILL own a full auto AK someday.
 
You must log in or register to reply here.

TRENDING THREADS

COMPANY
RESOURCES
FOLLOW
Top Bottom