OTCPK:NCNNF - Post by User
Post by
Zingiberon Nov 15, 2019 4:32pm
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Post# 30358543
Simple Basic Economics
Simple Basic EconomicsSupply exceeeds demand.
Prices and the occurrence of excess supply illustrate a strong correlation. When the price of a good is set too high, the quantity of the product demanded will be diminished while the quantity supplied will be enhanced, so there is more quantity supplied than quantity demanded. Sound familiar?
The occurrence of excess supply either leads to the lowering of the price or unsold supply. Lowering the price encourages consumers to purchase more and suppliers to produce less.
So there will be Canadian cannabis companies that will absolutely need to convert inventory at whatever price into cash to survive.
Me thinks the best marketing strategy given the marketplace economics is to be the first to unload product quickly at a low price to raise cash before someone else does so. And with a no return clause. Side benefit; consumers get to know your product!
Oregon may be the perfect model for 48North. This state's industry attained a 7-year supply of cannabis. So what happened there? Anyone know? Quill owners might?