If i produce bottled water i buy water bottles and fill them with water. Why do i not buy plastic and make my own bottles? Why does it not actually save on costs from paying another company and taxes from buying/selling, and also possibly transportation?
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A big part of it is the cost to buy materials and machinery to produce.
If 1 person buys say 100ltrs of water and 200 half litre bottles to make 200 bottles then the cost will be far higher than if a company buys millions of liters of water and millions of bottles. Not to mention transport costs etc, etc.
Add onto that cost time to produce those bottles. You would probably take a few hours to do it by hand. In that time a big company with all the automated processes will have made thousands of bottles.
If you were to start selling the water at a rate high enough to make enough profit to have an income you’d have to sell the water bottles at a large mark up. Even if it was just for yourself by the time you factor everything else it’s probably still cheaper to buy.
There are exceptions to this. I 3D print models, tools, things for round the house, etc.
Now a model called a Space Marine purely for example. A box of 5 costs ~£25, I can produce 5 models as proxies for marines for around £0.5 and sell them for £10-15.
1 squad will take me around 4hrs to print.
All my printers combined cost me in the region of £2,500.
I’ve a feeling i went of track there but I hope that answered your question.
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