Just ride the two types Georgesign, that will immediately tell you all you need to know about the pricing difference. Yes, a Lada or a VeloSolex will do the job after a fashion, but who wants to use crude technology from many decades ago? Very, very few in fact. Apart from anything else, the Velosolex designed in the 1940s was always a horrible thing which had very poor hill climbing performance even in it's day, and I say that as someone from the trade in the 1950s who knows only too well what they are like.
Some of the pricing problem with e-bikes results from the necessity to add costs and margins by percentages, so a moderate price difference accounted for by the quality difference at the factory gate expands considerably as every item is added. Things like producer margin, transit insurance, import duties, retailer margin and VAT, of necessity applied as percentages, all expand the difference substantially. There's also design costs at source, cheap e-bikes we call "parts bin" jobs since they are made up of standard items often of old technology thrown together with no quality control. By contrast, motor units like the Panasonic, Yamaha, Sunstar and latest form of the Suzhou Bafang have been designed from scratch and that costs money which has to be recovered. The same is true of battery technology, over a decade of intensive research had gone into lithium batteries to bring them to their present stage and that expensive research is still ongoing. Lead acid batteries by contrast are 19th century technology in the 21st century with virtually no design costs involved.
For margin reasons there are even substantial differences for similar products as illustrated by the car market, just look at the price difference between the top and bottom of any car model range. A model can vary from circa £13,000 to £20,000 for basically the same car with some upgrades incorporated, trim, engine, paint etc.
Your Rolls Royce comparison isn't correct, the likes of the £4000 BikeTech Flyers and the £8000 Optibike are the Rolls Royces of the e-bike market, the ones you are critical of are merely the mid market bikes priced accordingly and I wonder if you have looked in bike shops at the prices of good unpowered bikes. Here in the UK my local bike shop has a number of unpowered normal bikes priced between £1000 and £2000, so the typical good quality e-bike at between £1300 and £1800 here is far from overpriced in comparison.
You have the option of buying the cheap old tech low quality job if you want to, leaving those who want better to have their option too. That's how any consumer market should be, the widest choice possible to please all requirements.
N.B. Crossed with Tillson's post.
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