So a possible customer comes along and asks for some squiddlepop oxide.
Fine, fine, what purity?
Umm, well, …..so we discuss and settle on a high purity.
So what will the price be?
So we discuss, and over the course of about 18 months this potential customer has been running around the world trying to find someone cheaper than our (extortionate, but cheaper than everyone else) price.
We agree on the price and then I ask, so, how much do you want?
Blibbley kilos a month, every month.
Ah, you umm, do know that blibbley x 12 kg is more than current total annual, global, consumption of squiddlepop oxide?
No, but is that a problem?
Well, yes, it is. Someone\’s going to have to open a new squiddlepop mine somewhere.
So, err, we can forget everything we\’ve already said about price then, eh?