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I think the argument is that, in such an overstock situation, the suppliers should be dropping their price to match demand. Of course, such action has all sorts
by jdmichal 10y ago
I think the argument is that, in such an overstock situation, the suppliers should be dropping their price to match demand. Of course, such action has all sorts of barriers in the real world, especially if there are investors behind it. Who wants to vote to lose money, as opposed to the low-cost action of simply waiting (and hoping) for a buyer?
- VLM 10y agoIf the economy were expanding one strategy would be to wait for the pool of buyers to enlarge enough to buy in. But since its not, in general, on average, across the country...