Wednesday, August 8, 2007

Demand: a consumer's weapon!

This time last year when the gas prices were sky rocketing, I recieved an e-mail the essence of which was that if we wanted to put a stop to price gouging by certain oil companies then we should stop buying gas from them. It was then that I thought to myself - this is the most powerful weapon that I as a consumer possess and I should use it to my benefit. Like most of us, I was very agitated that the oil companies were making record breaking profits at our expense, so I decided not to buy gas from companies like Exxon, Mobil, etc. Instead I made sure that every time I went to costco I filled up my tank. What if you don't have a costco? Well, there are always other gas pumps which provide gas at much less. For example: Arco, Thrifty, etc.

This principle doesn't apply to gas alone but to any product/supplier. If the consumers don't buy their products, suppliers will be in big trouble! Taking such a step may put in some inconvenience but that's a small price to pay. If you think a store is overcharging you, you should stop buying from there. If you think a particular brand has degraded its quality; stop consuming that brand. What are suppliers without consumers?!?!


Orca said...

Hi, great posts you are putting on your blog. You're right about this strategy. Here in our country gas prices are skyrocketting. And it's so hard to keep up so the best thing is think of other passive incomes as counter measures such as blogging. Happy blogging to you.

Smriti said...

Hi Orca, thanks for dropping by and for the appreciation! So how much does gas cost in Manila?