Yes, those are all great explanations as to the way in

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EliteYoda CherylShuman #7986

Yes, those are all great explanations as to the way in which a start up must begin operations. Rather than immediately building all systems needed for large distribution supply chain business from scratch, first test markets must be engaged and use infrastructure already in existence. This means to get a foot in the door the margins must be very very small because already existing businesses are not willing to negotiate much better rates for a brand new (untested) product as well as the deal having to use all of their own infrastructure to churn the machine of business. Its very well known that any new participant in any field of business needs to begin at the very lowest level and be ok with signing very unfair deals just to enable any access to the business to start up for them. Eventually as they grow, the participant can become more self-reliant and increase efficiencies in the business. The quicker the growth path expected, the lower must the expectations be for fairness in the contracts signed because if each business brought the same amount of actual business capabilities to the table, then the start up would not be a start up and instead would be on equal footing already and probably then not even need to sign such a contract in order to grow their supply chain, etc, so just to get the foot in the door RFMK needs to do these small deals so that the product can get exposure and begin to set up business arrangements so that a growth path is accessible for the future.

GLTA

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