supply & demand

[cemjr]

As I mentioned in a previous post, I was wanting to add something in a 45 cal. to the pistols I own. The type I think most suits my needs/ wants, is a commander size 1911. The one I found that had all the features I want, in my price range, is a S&W e series. This is where the supply & demand question comes, it's out of stock every I look. I've noticed this on many other models also. You would think in a down economy manufactures would be trying to keep up with all demand for product ?

 

[mgmorden]

You would think in a down economy manufactures would be trying to keep up with all demand for product ?

They probably are, but there's a good chance that that model ISN'T in high demand. Just because its "Sold Out" doesn't mean they're selling fast. It could simply be that they list it in the catalog because their is SOME demand, but only enough to support limited production. It's not profitable to stop production on faster selling models (like the full size) to setup the line to make these except for small batches every now and then.

Put it this way, a model that's sold out everywhere with 75 people anxiously awaiting it to be back in stock isn't as valuable as a model that still remains in stock but is selling 150 units per day (random numbers to illustrate the point).

There's also the possibility that they're waiting a bit intentionally to generate artificial demand. I've seen it done in some other industries. If it's something that is obviously popular then there's no need, but for something just on the cusp, you can withhold the unit at strategic times. What this does is create a sense of urgency. People think that since it's normally always sold out, then the next time they see this item in stock they need to buy it. What might otherwise be a carefully debated purchase weighing pros and cons becomes an impulse buy because in one's mind, you have to buy it now, else it won't be there later.

 

[cemjr]

All good points. It's my understanding that the E series is being produced on an all new production line ( maybe having some growing pains). It bugs me when industry tries to manipulate the market by under producing.

 

[Get R Done Guns]

Being a dealer the problem really does lie with the manufacturers. Seems they run 400,000 j frames/polymer and no 1911. Same goes for all manufacturers. I think that the demand this year for 1911's is as high as it has ever been. Nobody in the 1911 world really produces thousands upon thousands because they are building the polymer (cheaper to make) guns that they get to make more dough on! Being a dealer it is hard to tell customers all the time that things are out of stock. It is not our fault though, we will take any major manufacturers 1911 at this point because of their scarcity.