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Open letter to gun store owners
- Thread starter SoCalNoMore
- Start date
Managerial Accounting 101:
Business do not sell products base on the their cost of that product, but based on the cost of replacing that product that is sold.
Inventory: Base your sales on what it will cost to replace inventory.
Its simple Supply and Demand.
Another way I look at it as a consumer. What it cost now vs what it cost when I started reloading.
I was talking to my old shooting partner from when I first got into competition.
We were discussing spending .80 - 1.00 per hundred primers compared to spending $4 plus today. Sounds like a big jump until I figured out I can afford $4 primers better today then I could $1 primers way back then.
Hang in there, we can ride this out.
Business do not sell products base on the their cost of that product, but based on the cost of replacing that product that is sold.
Inventory: Base your sales on what it will cost to replace inventory.
Its simple Supply and Demand.
Another way I look at it as a consumer. What it cost now vs what it cost when I started reloading.
I was talking to my old shooting partner from when I first got into competition.
We were discussing spending .80 - 1.00 per hundred primers compared to spending $4 plus today. Sounds like a big jump until I figured out I can afford $4 primers better today then I could $1 primers way back then.
Hang in there, we can ride this out.
Managerial Accounting 101:
Business do not sell products base on the their cost of that product, but based on the cost of replacing that product that is sold.
Inventory: Base your sales on what it will cost to replace inventory.
Interesting tid-bit I was unaware of. Thanks for that.
@ TOM: You hit the nail on the head; I hope all of the smaller gun store owners are not buying new Mustangs or that second home just yet because inventory is going to be a major problem.
The largest gun store in the Chicago area is starting to have that exact issue. No PMAGS to speak of, running low on all other types of mags. They only have one model of Bushmaster AR in stock, a couple of FN-2000's, HK93 clones, SKS's, AK clones etc. Semi auto "tactical" shotguns are mostly gone, pumps are starting to go. The "High Cap" pistol shelves (Sig's, Glocks, M&P's etc) were starting to really thin. I picked up a PPQ on December 27th from them, a store employee told me before the panic they had 4000 guns of various types on hand. At the time they had about 1000.
The only thing that seems to be on hand in "pre panic" levels are revolvers, rimfire guns and 1911's.
If it really does take people like Colt, S&W, Ruger etc a year to catch up like they say it will it might be a long time before sales are back to "Normal".
Not to be political, but considering that the President has now stated gun control is his priority even if nothing is passed this go round, from here on out every single mass shooting or mention of a gun bill has the serious and likely potential to spark panic buying. It may be until after the 2014 mid term electons before things begin to calm down.
The largest gun store in the Chicago area is starting to have that exact issue. No PMAGS to speak of, running low on all other types of mags. They only have one model of Bushmaster AR in stock, a couple of FN-2000's, HK93 clones, SKS's, AK clones etc. Semi auto "tactical" shotguns are mostly gone, pumps are starting to go. The "High Cap" pistol shelves (Sig's, Glocks, M&P's etc) were starting to really thin. I picked up a PPQ on December 27th from them, a store employee told me before the panic they had 4000 guns of various types on hand. At the time they had about 1000.
The only thing that seems to be on hand in "pre panic" levels are revolvers, rimfire guns and 1911's.
If it really does take people like Colt, S&W, Ruger etc a year to catch up like they say it will it might be a long time before sales are back to "Normal".
Not to be political, but considering that the President has now stated gun control is his priority even if nothing is passed this go round, from here on out every single mass shooting or mention of a gun bill has the serious and likely potential to spark panic buying. It may be until after the 2014 mid term electons before things begin to calm down.
CharlieDeltaJuliet
New member
Brian Pfleuger hit the nail right on the head with this one. Panicked buyers who were caught unprepared, see it as a way to cash in, or just want to buy something that has a possibility to be banned, have caused the price hikes. I know it gets out of hand sometimes, but as a customer you have the right to refuse the price and try to buy elsewhere.
I purchased a Hk MR556A1 the morning of the tragedy. I paid way below retail. I was hounded by someone (at my LGS)that was caught off guard and wanted to buy an AR. I continuously told him, it was not for sale. Finally to get him off my back I told him if he wanted it to bring me $6000(roughly double the MSRP). His cursing over the price made my day. He thought that I should sell it at what I paid or less just because he "needed" one. I did however turn around and sell my DDV4 to one of my friends. I sold it to him for $1200, but I really didn't shoot it anymore and knew he had wanted it for over a year. Things will most likely settle down, it might take another 4 years or so..lol.
I purchased a Hk MR556A1 the morning of the tragedy. I paid way below retail. I was hounded by someone (at my LGS)that was caught off guard and wanted to buy an AR. I continuously told him, it was not for sale. Finally to get him off my back I told him if he wanted it to bring me $6000(roughly double the MSRP). His cursing over the price made my day. He thought that I should sell it at what I paid or less just because he "needed" one. I did however turn around and sell my DDV4 to one of my friends. I sold it to him for $1200, but I really didn't shoot it anymore and knew he had wanted it for over a year. Things will most likely settle down, it might take another 4 years or so..lol.
FoghornLeghorn
New member
I still don't see how supporting Romney would've helped gun owners and further 2A rights
In point of fact, Romney is immaterial to the discussion.
The Democratic candidate's constituents were adamant that the POTUS would make no moves to restrict guns. Now that the POTUS has nothing to lose, he's going to violate that trust.
Here on our local forum numerous Democrats have renounced that party, and have switched to Republican. And after Americans receive their paycheck in a couple of weeks (for those who get paid bi-weekly), I suspect we'll see even more defections. They thought the tax increase would only impact those above their pay grade.
There you go. Watch and learn. That's what I did after 2008 with ammo. Once prices weren't crazy and supply began to normalize I started to pad my supply. Reloading components and finished rounds in some calibers. I buy everything in minimum quantities of 500 when I find a good sale price. The only thing I've felt the need to buy recently was some projectiles and I found those at non-inflated prices.Hang in there, we can ride this out.
There is no price "gouging" unless the store owner beats you up, takes your money, and leaves you an AR. If you found a shop with PMAGs on sale today for $2.50 how many would you buy? 2? Or 30? How many would everybody else buy? How long would the store's supply last? If demand rises and prices do not, there will be no supply. That's not Economics 101, that's Reality 101.
I know it can be a bummer, but there is nothing wrong with selling your property at current market value, whether you are a merchant or a private seller. Panic buying has caused relative scarcity of certain items, but it is a free market. No one is forcing you to buy. Just like no one was stopping you from buying the same item 6 months ago for half the price. I don't see anything immoral about any of it. Let's say the gun store owner sold all his current inventory at some "fairer" price. There is nothing to stop the buyers of those items from immediately re-selling them for their current market value. For all those folks who bought a dozen WASR 10s for $400 each last year, good for them.
The woman goes in the back and gets one, asks Chuck for the price and he states $75.
You should have bought the magazine and said "thank you, when will you be getting more".
Going in to McBride's -- big gun store in Austin -- later this week to order an XDs ... salesman didn't seem to think it would take too long, but the Ruger LCR .22 mag may be another story ... I try to shop at local unaffiliated shops, getting a below MSRP price for the gun ... can't wait ...