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Post by Purebred Redneck on May 7, 2006 15:02:31 GMT -5
Yeah, jack cleared that up. What I was getting at is that they have a 3 month wait for the product to be made. But if you get too many orders, then you won't be able to fill all the orders in the 3rd run...and it's going to take 6months. The way to control this is by a price increase. Let's say you only have time to build 20 units but you are getting 30 orders when the units sell for X amount. If you increase X, then you will recieve less orders (which may be more managable for you...and perhaps even more profitable). This is what I'm talking about...and I appologize in advance b/c this is VERY detailed professional/college material www.investopedia.com/university/economics/economics3.aspIf you look at nothing else, look at the first chart (demand) If you sell your item for $3, you will sell 1 unit If you sell your item for $2, you will sell 2 units If you sell your item for $1, you will sell 3 units In words everyone can understand If you sell your rest too cheap you'll work your ass off and make $3. If you sell the rest for more money(3 dollars), you'll sell less and have more time for other things while still making $3. But if you want to make the most money, then you sell your rest for $2 and you'll sell 2 items = 4 dollars. At this point you seem to be overworked at the "If you sell your item for $1, you will sell 3 units" There's too many variables (things that can happen) to even begin to explain this better b/c I don't actually know your business statistics and the direction you personally want to take.
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Post by sebastian on May 7, 2006 21:47:00 GMT -5
Thanks for the time & lecture, Red. I appreciate it. Ok, i will learn I must go now...seb.
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Post by sebastian on May 14, 2006 9:37:48 GMT -5
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Post by xphunter on May 14, 2006 13:43:04 GMT -5
Just read it!
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