How to stiff a supplier. I thought of this because I noticed that for some reason, we have a very very large amount of trash bags at our house, like new ones. We have at least a hundred. Alright, the way you stiff a supplier is to buy an enormous amount of any given product, and sell it really really low, bite some of the cost yourself, and continue to do this for a month. This would work best in a small town. The entire community would stock up on that product (assuming they are of average intelligence), thus not needing anymore for a long time. Now, your supplier will think that there is just a vast increase in demand, and as any smart business should do, would increase their supply of the product. Come the next month or fiscal quarter you, a smart store owner, would buy a very very small amount of this. Now forcing the supplier to show a large decrease in sales, and overall income. Assuming that this company isn't a multi-supplier (a false word I just made up that demonstrates that a company produces more than one product, IE: Sony), there will be cataclysmic damage done to this business. First off, assuming that it is a publicly traded company, stock holders. In today's skiddish market, an increase in sales doesn't draw a lot of stock purchases, but a large decrease sure does scare the hell out of people, and they'll sell before it gets any lower. Next, the company will be forced to raise prices, and piss of the consumer, now destroying any loyal customers they had. They'll see that the quality stayed the same, and the price went up, and will switch to a different brand. Not only is "your" supplier getting weaker, their opponents are getting stronger. Let's not forget that Darwin's survival of the fittest junk applies to everything, even business. This old supplier of yours will be gobbled up by the competition. Endo story. The moral of the story? Even the smallest dog can bite.
