1/ Friends, my twitter feed has become a Real World Twitter Institute (nod to Nassim). Decided to chronicle this entrepreneurial journey in crisis distribution filling a supply gap. Yes, we make money but challenges pop up daily.
2/ Making hand sanitizer and distributing has been a journey. Surviving a brutal ethanol squeeze and now paying 4X the normal cost and not hesitating in paying it is a lesson to learn.
3/ Our first order of Purifize sanitizer was to produce 10,000. We now produce more than this daily. Plant owner offered to lower cost 10%, we told him keep it. He transformed his business to supply us. He is old school &did not want to pay overtime. The 10% increased production
4/ None of our actions from paying 4X ingredient cost to turning down 10% cost reduction is going to happen in conventional distribution. Rules change in crisis distribution filling a supply gap. Entrepreneurs out there, dismiss jackasses who call you a profiteer or gouger
5/ This levying that charge whether they be doctors or simpletons have no understanding of the economics of crisis. We knew this going into hand sanitizer business and charge an outrageous $9.99/bottle when normally it is $5.47 for Purell same size
6/ Our material costs have increased 4X but we still have margin enough to continue manufacturing and filling temporary supply gap. As for masks, our west coast partner has people on the ground visiting factories all over to verify FDA factory status
7/ The mask market is a "market for lemons"...meaning cheap masks with faux markings that LOOK like the real thing push out real masks because of price. In crisis distribution, unless there all parties AGREE that there is a crisis, no deal can be made.
8/ Forget about people TAWKING about a crisis unless they act as if there is a crisis. Tawkers R are fill of sh*t. It took us 2 min. to buy a shipment of ethanol at 4X price we paid 4 the last shipment. We obviously are hunting for additional sources, but crisis is time dependent
9/ Filling a supply gap is not easy but if you ACT fast and do not torture decisions, you can make it work. I discovered the higher IQ someone has, the more they torture decisions. They are not built for this kind of action. Balls not brains are needed. End of lesson.
