Quote:
Originally Posted by DGthe3
Most manufacturing companies would probably fail if they only invested in what people want now. Afterall, it takes months to years to bring a product to market. Buyers in 2013 will probably want something different than what they wanted in 2011.
|
It seems we read that statement in two completely different ways. It's obvious that entrepreneurs are always trying to accurately guess the future demand (and future prices) of their product, as you alluded to above, but I read it in a way that said,
generally, companies do not invest in products that consumers will want regardless of the time period you are specifying. This is simply because past, present, and future are all terms that are relative to which time period you are analyzing it from. I.e., GM saw in the
past that SUVs and Trucks would still be in demand
now (everything else remaining constant.)