Where I live petrol stations make relatively little profit on fuel sales, the bulk of their profit comes from "also bought" items - milk, newspapers, ... , they're essentially high markup mini malls.
The two advantages to cheap cheap pizza are firstly in can get the crowds in and secure the sales of "also bought" items with better profit margins, further it leeches the crowd away from the competitor.
I was witness to a price war in geophysical surveying, over a decade in which fuel and manpower costs rose and inflation occurred the per line/km cost of flying aircraft with state of the instrumentation onboard dropped from $17 to $7 and effectively eliminating any profit in taking on million+ dollar survey jobs with risks.
Why the hell would the companies do that?
I would hazard a guess that the owners, being part of a much larger business that profited from resource extraction, weighed the benefits of having lead information on deposits potentially worth billions over the drawbacks of having losses of several tens of thousands.
Where I live petrol stations make relatively little profit on fuel sales, the bulk of their profit comes from "also bought" items - milk, newspapers, ... , they're essentially high markup mini malls.
The two advantages to cheap cheap pizza are firstly in can get the crowds in and secure the sales of "also bought" items with better profit margins, further it leeches the crowd away from the competitor.
I was witness to a price war in geophysical surveying, over a decade in which fuel and manpower costs rose and inflation occurred the per line/km cost of flying aircraft with state of the instrumentation onboard dropped from $17 to $7 and effectively eliminating any profit in taking on million+ dollar survey jobs with risks.
Why the hell would the companies do that?
I would hazard a guess that the owners, being part of a much larger business that profited from resource extraction, weighed the benefits of having lead information on deposits potentially worth billions over the drawbacks of having losses of several tens of thousands.