GNM 0.00% 1.2¢ great northern minerals limited

GPP OHD 1/10th of Competitors Retail Price, page-3

  1. 255 Posts.
    Pretty sure it means that they can produce it and sell it for that price and break even. The difference between that price and the competitors wholesale price would be made up of consumer savings, profit for GPP, and mark up applied by the retailer.

    E.g GPP produces 1000L of biostimulant. It cost them $700 to do this and they sell the 1000L of product to a retailer for $1500 wholesale price. Gpp makes $800 profit. The retailer then sells the product for $2500. The retailer makes $1000 less costs profit. Say shipping and other costs were a total of $500 then the retailer makes $500 profit when they sell the 1000L of product. The consumer saves $1000 compared to buying a similar product for $3500 as they only pay $2500.

    That's my interpretation of what they meant, using hypothetical numbers.
 
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