The sucessful ones buy raw materials at a cost x, process them into a saleable form and then sell the finished result at cost x + profit.
Coincidentally this is exactly the same strategy that sucessful bakeries employ. Economists are still trying to corolate the fundemental points of similarity of these two seemingly disparate industries.
Actually it is selling price = Material cost + manufacturing costs + Transport costs + handling cost + storage costs + sundries + capital costs + commissions + banking + market research + much much more + profit
Ignoring any costs will lead to bankruptcy.
This is basically how any industry (including bakeries) should operate.
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Never do today what you can put of until tomorrow - Student motto
I quote that great entepreneur, Mannie Kahn, who used to say, "I don't know anything about business. If something costs me a dollar, I just sell it for two dollars, and I don't go broke."
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"Well, I've wrestled with reality for 35 years, Doctor, and I'm happy to state I finally won out over it." Elwood P. Dowd
Coursework
Re: Coursework
