I build a lot of engines every year, supply even more heads and loads of trick parts like steel rods/cranks etc. If I'm honest I wish this was'nt part of my business as the profit is pathetic but its something I seem to have got into. The demand is always high for engines and heads so I don't see this changing for a long time yet. I just wish folk would appreciate that its not just the sum of the parts you are paying for but the experience and labour, so it annoys me when people quibble over the price of an engine!!
As an example imagine I quote 7K for a 450bhp engine. Of that £5500 will be parts alone leaving a pathetic £1500 for labour, machining and experience of building such engines. Every man and his dog thinks its just about bolting the parts together but it is'nt. Its a subject I'm deeply defensive about and ultimately it just means I either refuse to build an engine or I have to lower the spec to keep the cost down and still make a viable profit.