All the supply and demand posts...
This is not an elastic price market. We don’t see these manufactured pin hard goods prices flexing week to week or month to month.
When was the last time you saw a pin manufacturer lowering msrp mid run? There is discounting in the channel... but not msrp changes.
And your really think gnr prices will come down once demand subsides? We all know it won’t... so please stop it with these simplistic s&d arguments like none of us have ever heard of it before.
It it was just huge demand, most companies take that opportunity to convert that demand into sales by increasing production... or providing substitutes. Simply flexing the price is a known detriment to hurting that demand. Obviously companies don’t want to kill demand, but convert it to sales.
This isn’t a fixed number of units where simple demand drives competition for each buy. Demand is high due to the product... not necessarily due to being under priced. Missing your estimates on market size doesn’t necessarily mean you were under priced.
Using prices to neuter demand does just that... hinder demand (and your sales). Sure you get some extra margin, but volume is the blood flow of a MaNUfACTURER- not margin. Volume drives revenue... volume drives economies of scale... volume brings cash flow and sustainability.
JJP can’t be looking to do anything that would stand to hurt their consistent production output. Trying to “limit demand” is just foolish.
If it truly is a “rising cost” issue... that blows because it means its never coming back.
If it is opportunistic to capitalize on the hot product - i think it really is short sighted.