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To: rdcbn

From a business POV, is it better to really pump out everything until the demand is finally sated, or is it more profitable to keep manufacturing quotas just short of what is needed to continue the shortage and keep the prices up?


7 posted on 04/11/2013 1:59:00 AM PDT by Jonty30 (What Islam and secularism have in common is that they are both death cults)
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To: Jonty30

Most ammo makers are producing as ammo fast as they can and prices at their level have increased as much as the rest of the supply chain.

People are buying up ammo faster than it can be made.

This will probably go on for a good many months.


12 posted on 04/11/2013 2:34:35 AM PDT by rdcbn
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To: Jonty30
From a business POV, is it better to really pump out everything until the demand is finally sated, or is it more profitable to keep manufacturing quotas just short of what is needed to continue the shortage and keep the prices up?

If you were the only ammo maker, then yes. But there are lots pf ammo makers in competition, so they're all going flat out.

The perception that this is a short-term bubble is stopping ammo makers from putting a lot of money into expanding facilities, buying equipment, or hiring a lot more people. If it continues much longer, we will see ammo makers buying new equipment earlier.

26 posted on 04/11/2013 4:20:24 AM PDT by PapaBear3625 (You don't notice it's a police state until the police come for you.)
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To: Jonty30
...or is it more profitable to keep manufacturing quotas just short of what is needed...

so that your competitors can continue to sell as much as they possibly can?

35 posted on 04/11/2013 6:46:15 AM PDT by Darth Reardon
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