They are doing it cheaper because they already have manufacturing up and running..... and their machines are already paid off.
And they are making a profit because they are making more than just brakes.
And those small operations that are making just brakes have already beaten you to the market and established themselves when the market was smaller than it is now.
Also what makes you so sure your design is vastly superior?
Have you done any engineering?.... built and tested prototypes?..... or just drawn up something that looks cool?
If I use someone else to manufacture, they will already have machines that are running and paid off. Sure, they will take a part of the profit.
Say company X sells a $100 brake and makes $50 profit on each brake they sell. If I sold a $100 brake and made $30 on each brake I sold (because my manufacturer is taking $20 above their costs per piece), I would still be making a profit. Not as much as company X, but still a profit. So yeah, starting off I would probably be making less profit than competitors.
It does not make sense to say they are making a profit beause they are making more than just brakes. If I was making brakes and pistols, and I was making no profit or losing money on the brakes but making a profit on the pistols, guess what I would stop selling?
You are right that breaking into a market with lots of competitors will be hard. I might even fail. But that is a risk that every business owner must face.
No, no prototypes yet. I just got the idea about 2 days ago. I don't even have something that looks cool yet! I just have a design feature that, as long as I can implement it, will improve performance. Once again, I cannot give particulars.
I need to work on designs, and once I figure out which would be the best candidate to start with, I will get it into design software, file a provisional patent, have a shop prototype it, and begin testing.
I appreciate your comments, because they are helping me to evaluate possible obstacles.