Small Business Manufacturing sole Proprietorship?

My friend asked me why I don't go into a small manufacturing business.
I told him that its unfeasible.

You can get a good, sturdy, long lasting Craftsman Hammer for $30.
Would you want to pay me $250 for slightly better, but you can't tell the difference at all?

You can get a good ford Mustang for $40,000, or a good Ford Expedition for about $60,000
You can get a good Ford Escape for $30,000

Would you want to be paying me as much as a quarter of a million for the same exact economy cars that MAY or MAY NOT be only slightly better quality?

Would you want to pay me $ 6 million dollars, for a $300,000 Combine?

Would you want to pay Nieman Marcus Prices for a pair of Jeans?

There are things in this world where a Group investment, is more efficient than a small business.
Commercial Manufacturing of goods is one of them.

In Small Business, you want to be SELLING things, and Performing Services for people.

What do you think of my Answer to that?

I think your answer is ok but the bottom line is.

producing stuff that your clients can get cheaper else where is not your ticket. Your ticket is making stuff on a smaller scale with better quality and less overhead then your competition