What determines the price of marijuana?

Padawanbater2

Padawanbater2

Well-Known Member
This is probably another noobie question, but I've always wondered about this... I'm sure it's the same as anything else, supply/demand, basic economics type stuff, but I'd like someone smart to explain it clearly, please.

Say I have a lot of weed... What's to stop me from selling my grams at say $10.00 instead of the usual $20.00? More people come to me, I make more money selling more $10.00 grams than I would $20.00 grams.

Sell 20 x @ $20.00 = $400.00
Sell 40 (twice the customers) x @ $10.00 = $400.00

In this equation, you'd have to have twice as many customers to match the previous profit. Once you go beyond that, it's all extra money that you made because of the price mark down on the weed.

Take it farther and play with the prices...

Sell 250 x @ $15.00 = $3,750.00
Contrast that with...
Sell 125 (1/2 the customers) x $20.00 = $2,500.00
$1,250.00 profit, simply by marking $5.00 off each gram.

Probably works differently than I'm thinking in reality...
 
gogrow

gogrow

confused
I'm sure that supply/demand plays a large role, but then there is quality/quantity, how far away it comes from, who grew it, and there's gotta be enough profit in it for all involved to make it worth the risk.
 
bigv1976

bigv1976

Well-Known Member
Keep in mind too that twice as many customers equals twice as many people that can get busted and wear a wire.
 
P

poonjoon

Well-Known Member
Supply and demand. "Quality and quantity" falls under supply and demand.

If I can name any other factor, I would have to say risk since it is an illegal substance - but that still falls under supply and demand. All commodities follow the law of supply and demand.
 
J

Jungle Crown

Member
I remember someone doing just this selling 2 bags for the price of 1 it was low grade but everyone bought up lbs in days... if its dank u gonna run out of supply to fast cuz there will be a demand
 
andar

andar

Well-Known Member
why would you lower the price? if thats what every ones used to paying ,and you have quality shit then keep the price the same and just make more money. and you also wont piss off every other drug dealer in town.
 
aknight3

aknight3

Moderator
also u sell twice as much product, you will run out eventually and then what, shoulda sold 20 dollar grams thats what
 
brandon.

brandon.

Well-Known Member
Padawanbater2 said:
Say I have a lot of weed... What's to stop me from selling my grams at say $10.00 instead of the usual $20.00? More people come to me, I make more money selling more $10.00 grams than I would $20.00 grams.

Sell 20 x @ $20.00 = $400.00
Sell 40 (twice the customers) x @ $10.00 = $400.00
Click to expand...
Makes sense until you think of profit margins. Say it's dank... $350/oz. 20 grams @ $20 = $400. already $50 profit, with 8 grams left to sell. Sell 40 grams @ $10. You spend almost $700 to get around 2 ounces, to make $400...

that's what stopping you from selling dank weed cheap. (thats not taking into account the fact you might be a grower... nothing really stops you there haha)
 
brandon.

brandon.

Well-Known Member
brandon. said:
Makes sense until you think of profit margins. Say it's dank... $350/oz. 20 grams @ $20 = $400. already $50 profit, with 8 grams left to sell. Sell 40 grams @ $10. You spend almost $700 to get around 2 ounces, to make $400...

that's what stopping you from selling dank weed cheap. (thats not taking into account the fact you might be a grower... nothing really stops you there haha)
Click to expand...
fuck I'm high. does that make sense to any one else?
 
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