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Sad story, but if he had kept the employees and built a stockpile at a loss, he'd quickly recover those past losses and score a huge profit now. So: believe in

Sad story, but if he had kept the employees and built a stockpile at a loss, he'd quickly recover those past losses and score a huge profit now. So: believe in your product and mission, pandemics do happen. A solution for the future would be be high import taxes for products of "national interest".

neltnerb 7y ago
If your creditors and landlord don't believe in your product and mission, I'm not sure how that's actionable. Small businesses aren't in a position to make big financial bets. If Goldman-Sachs wanted to stockpile masks made at 10 cents each and take on the risk of never being able to sell them, great. I cannot fathom how someone running a non-diversified business could possibly make such a choice.
- lazyjones 7y ago
  > If your creditors and landlord don't believe in your product and mission, I'm not sure how that's actionable They own their plant, as 30 seconds of research show. https://www.prestigeameritech.com/press-releases https://www.prestigeameritech.com/press-releases They've been in the business long enough and through at least one pandemic before (see below) to make this something other than a "belief" issue. Even small companies can build reserves if their business model works.
raincom 7y ago
Of course, you suggest the company to gamble. Borrow money, build a stockpile at a loss, and wait for a pandemic. What if the pandemic doesn't strike, before they file for a bankruptcy?
- lazyjones 7y ago
  Since they've already been through a pandemic once before, it's not much of a gamble. Building reserves isn't risky: Prestige Ameritech's sales have doubled in recent weeks, forcing the company to maintain a seven-days-a-week production schedule to keep up with demand. http://content.time.com/time/health/article/0,8599,1899526,00.html http://content.time.com/time/health/article/0,8599,1899526,0... (2009)
  - Zenbit_UX 7y ago
    By your logic most people over 17 have been through a pandemic before, did you learn your lesson? Do you have a stockpile of n95 masks? Even if he could predicted have it, he still couldn't sell them for more than $.10ea due to price gouging, so your whole point is moot. There's no insentive for him to take the risks you're suggesting.
mhb 7y ago
That's exactly the behavior that anti-"price-gouging" laws disincentivize.

neltnerb 7y ago

If your creditors and landlord don't believe in your product and mission, I'm not sure how that's actionable. Small businesses aren't in a position to make big financial bets. If Goldman-Sachs wanted to stockpile masks made at 10 cents each and take on the risk of never being able to sell them, great. I cannot fathom how someone running a non-diversified business could possibly make such a choice.

lazyjones 7y ago
> If your creditors and landlord don't believe in your product and mission, I'm not sure how that's actionable They own their plant, as 30 seconds of research show. https://www.prestigeameritech.com/press-releases https://www.prestigeameritech.com/press-releases They've been in the business long enough and through at least one pandemic before (see below) to make this something other than a "belief" issue. Even small companies can build reserves if their business model works.

raincom 7y ago

Of course, you suggest the company to gamble. Borrow money, build a stockpile at a loss, and wait for a pandemic. What if the pandemic doesn't strike, before they file for a bankruptcy?

lazyjones 7y ago
Since they've already been through a pandemic once before, it's not much of a gamble. Building reserves isn't risky: Prestige Ameritech's sales have doubled in recent weeks, forcing the company to maintain a seven-days-a-week production schedule to keep up with demand. http://content.time.com/time/health/article/0,8599,1899526,00.html http://content.time.com/time/health/article/0,8599,1899526,0... (2009)
- Zenbit_UX 7y ago
  By your logic most people over 17 have been through a pandemic before, did you learn your lesson? Do you have a stockpile of n95 masks? Even if he could predicted have it, he still couldn't sell them for more than $.10ea due to price gouging, so your whole point is moot. There's no insentive for him to take the risks you're suggesting.

mhb 7y ago

That's exactly the behavior that anti-"price-gouging" laws disincentivize.