It’s natural to source on unit price — it’s the number the supplier leads with. But the unit price is only the first line of the real cost. Freight, duty, inspection, defect rates, financing and lead time all stack on top before the product earns a cent.
Total landed cost thinking pulls all of that into one view. A slightly more expensive supplier that ships faster, fails less and sits closer to your market can easily beat a cheaper one once the full picture is in.
Decisions made on landed cost, not sticker price, are the ones that protect margin over time.
