Does the intelligent business woman "exploit" a crisis?

[Pangolier]

Originally Posted by oldbutstillgoing

Also, I fundamentally disagree that this industry is like no other. When it comes to pricing, Other than the product sold, this is no different than any other industry where the providers of services are generally independent contractors. Having been an independent contractor in a service industry for 18 years, I know very well factors that justify specific rates.

Supply and demand
Level and consistency of services provided
The general condition of the economy
Effective marketing to build the perception of higher skill that allows higher rates.
Costs of goods sold IE: what does it cost to deliver a product.
Inflation impacting cost of living
And more

I can directly control #1 and #3. The rest not so much.
I like most companies, will eat my cost increases as long as I can. But when the higher cost of doing business reduces my profit to the point I no longer meet my financial goals, then I either raise my rates or find ways to reduce my costs or both.

I make about $45 an hour more than I did 18 years ago. And I still have my very first customer. If I gain better skills, I rase my rates to where I want to be versus my competitors. If the over all market rates go up,I raise mine to remain where I want to be compared to my competitors. If there is a flood of new talent at lower rates,I maintain my rates by either doing better at #3 or developing new skills or both.

Every time I rase my rates, I chance loosing customers more Interested in price than quality. And I always seem to find better customers who care more about quality and skills.

I have enough repeat customers, I now work as much or little as I want. I get enough referrals from existing customers to replace those few that drop off.

The issue for many is this is a very personal industry due to the prod sold. No one likes higher prices,but few will object to getting more for what they do.

As as WEC is so happy to point out, if prices goes up and quality goes down, the seller will suffer. But that has been the norm in my experience

It is different in one major regard in that this industry operates in the black market in the USA. Want to hear something interesting if you don't already know? When Colorado made recreational weed legal, and several other states followed behind it: many of the pot heads in those states kept buying their product from their unlicensed / underground dealers, rather than going to the newly opened and legal dispensaries. Why? Primarily because the prices are substantially from illegal dealers.


From a price perspective this a very premium industry. If you are a middle income family you don't have the money to go on a massive international trip once month. Most low income workers cannot afford to see the kinds of girls you will find on this site more often that once a blue moon, if that even.

[oldbutstillgoing]

Originally Posted by Pangolier

It is different in one major regard in that this industry operates in the black market in the USA. Want to hear something interesting if you don't already know? When Colorado made recreational weed legal, and several other states followed behind it: many of the pot heads in those states kept buying their product from their unlicensed / underground dealers, rather than going to the newly opened and legal dispensaries. Why? Primarily because the prices are substantially from illegal dealers.


From a price perspective this a very premium industry. If you are a middle income family you don't have the money to go on a massive international trip once month. Most low income workers cannot afford to see the kinds of girls you will find on this site more often that once a blue moon, if that even.

This is not untrue. But there are other Discretionary markets out there. And again, it does not matter . Regardless of the product or service sold the factors outlined affect it. Of course, I am speaking macro, ,not micro. Only in the case of a total or near total monopoly can these factors be controlled. And even then for only a limited time. The market will either reward or punish those who attempt to change it.

[Pangolier]

Originally Posted by oldbutstillgoing

This is not untrue. But there are other Discretionary markets out there. And again, it does not matter . Regardless of the product or service sold the factors outlined affect it. Of course, I am speaking macro, ,not micro. Only in the case of a total or near total monopoly can these factors be controlled. And even then for only a limited time. The market will either reward or punish those who attempt to change it.

Some of the things you mentioned can be applied to most markets. But think about it for a second... some of the girls at the ranches here can charge $1,000 an hour.... even though the house keeps half, plus even half of their tips that's still over 500 net. But then look at the brothels in Amsterdam. You wouldn't even pay near $300 to see most of the girls there and they still have to pay the window rent fee. But it's been a very well known fact that prostitution has been legal in the Netherlands for more than 2 decades. Most guys who visit the red light district there go for that very reason.


But it's also well known that the only place prostitution is legal in the USA are at ranches in rural counties in Nevada. If prostitution were legal in the remaining 49 states, I guarantee you we wouldn't be in the situation we are now. I feel pretty confident that most of the American guys on this forum have never been to a Nevada ranch to get business. I'm sure a few of them have at some point... but that's the minority. In fact most people go to Vegas to gamble, drink, or attend a convention/meeting/show. I can't imagine that guys who go to a ranch see SW on a regular basis outside of a ranch. If they see them often they are probably regular visitors to the ranch. Whereas most of us see SW frequently, but never at a ranch.


On the other hand people travel from all over the world to visit Amsterdam.

[oldbutstillgoing]

The reason some women can get $1000 or more is they have learned and cater to the needs of that market. The higher you go above averages for an industry, the less market volatility affects you.

But the points you made, while valid, are still affected by the things I mentioned. This industry, perhaps more than many others, is the business smarts are less common. In part due to the low cost of entry. I have known some very savvy business women. Many are not even super attractive. But they understand the industry, have developed skill sets their desired customers want, and do well regardless of the economy. They make far more than the average income and will retire when they wish.

Moat providers do not understand how to run a business, nor really understand the industry. Again, in part to this industry not attracting the brightest of women. With exceptions, of course

So in answer to the original question,no,an intelligent business women isn't exploiting when she adjusts her business to market conditions to maximize her income for the work she does.

[Pangolier]

Originally Posted by oldbutstillgoing

The reason some women can get $1000 or more is they have learned and cater to the needs of that market. The higher you go above averages for an industry, the less market volatility affects you.

But the points you made, while valid, are still affected by the things I mentioned. This industry, perhaps more than many others, is the business smarts are less common. In part due to the low cost of entry. I have known some very savvy business women. Many are not even super attractive. But they understand the industry, have developed skill sets their desired customers want, and do well regardless of the economy. They make far more than the average income and will retire when they wish.

Moat providers do not understand how to run a business, nor really understand the industry. Again, in part to this industry not attracting the brightest of women. With exceptions, of course

So in answer to the original question,no,an intelligent business women isn't exploiting when she adjusts her business to market conditions to maximize her income for the work she does.

So you are saying more women go into prostitution than opening a retail shop because the store takes insurance, leasing agreements, inventory, etc... and a lot of girls do not have $10,000+ laying around to start a more conventional business? That would point to women being more open about their sexuality than they would lead us men to believe. Either that, or women turning a blind eye to uncomfortable situations because they really need money; one or the other.

[oldbutstillgoing]

No, I said the entry costs for prostitution is very low. Because the lack of money or education needed is almost nonexistent, many women who enter the hobby, either part time or full time, do so because of that low cost to get started. This industry does not pull the same average caliber of women that more acceptable jobs do. As I did, there are some very notable exceptions, I think many women become SW because they don't know how to do anything else, they are desperate, or maybe they think why not get paid to do what they already do for free. Again, there are exceptions. Some may have started one of these ways but acquired the skills and knowledge of how to do very well. Those are the women who know how to take advantage of changes in the industry and the overall economy to maintain their lifestyle despite those changes

[Pangolier]

Originally Posted by oldbutstillgoing

No, I said the entry costs for prostitution is very low. Because the lack of money or education needed is almost nonexistent, many women who enter the hobby, either part time or full time, do so because of that low cost to get started. This industry does not pull the same average caliber of women that more acceptable jobs do. As I did, there are some very notable exceptions, I think many women become SW because they don't know how to do anything else, they are desperate, or maybe they think why not get paid to do what they already do for free. Again, there are exceptions. Some may have started one of these ways but acquired the skills and knowledge of how to do very well. Those are the women who know how to take advantage of changes in the industry and the overall economy to maintain their lifestyle despite those changes

So in that case, we are not necessarily talking about the entrepreneur. That implies most of the girls who go into this job don't have the resume or resources to get a high paying corporate position. If they can do well in this job, good for them. But I'm not paying an exorbitant price for something I don't desire... that trick only works once. If it's something of inordinate quality, then I may choose to pay a high price. That goes back to your principles of economics. But it's the guys who have an overabundance of money that are supporting these lofty prices for low quality service. We'll see if this trend remains. I think if people as wealthy as Lord Lucan was (pre gambling debt and disappearance) start realizing they can find a girl who better matches what they are looking for then the shysters of the SW industry will very quickly start lowering their prices. Time will tell.

[oldbutstillgoing]

But exorbitant is relative. To a man making $100k a year, $500 may seem expensive. But at $1m a year, many men would not care.

When it's starts pushing $1000 an hour and up, the game changes. The men can typically easily afford it and the woman bring something to the table to be worth it. I know guys who sware no pussy is worth more than $x . And to them, it's not. But most self made rich men are not stupid or wasteful. If they can get what they want at a lower price, they will.

More power to them. If someone feels about $500 the way I do about $200, good for them. I have a long time friend who is now a professional suger baby. She was on here years ago happy to get $200. Now, she not only has those high dollar SD, she teaches other women how to do the same. I was at her birthday party last year along with 36 women from all over the country that were her clients. Looks ran the whole range. But even the cheapest girl there would have broken my bank.

The point is, market pressures, over time will impact those not able to justify the rates they charge.

[Pangolier]

Originally Posted by oldbutstillgoing

But exorbitant is relative. To a man making $100k a year, $500 may seem expensive. But at $1m a year, many men would not care.

When it's starts pushing $1000 an hour and up, the game changes. The men can typically easily afford it and the woman bring something to the table to be worth it. I know guys who sware no pussy is worth more than $x . And to them, it's not. But most self made rich men are not stupid or wasteful. If they can get what they want at a lower price, they will.

More power to them. If someone feels about $500 the way I do about $200, good for them. I have a long time friend who is now a professional suger baby. She was on here years ago happy to get $200. Now, she not only has those high dollar SD, she teaches other women how to do the same. I was at her birthday party last year along with 36 women from all over the country that were her clients. Looks ran the whole range. But even the cheapest girl there would have broken my bank.

The point is, market pressures, over time will impact those not able to justify the rates they charge.

Very well then. When you mention "over time", Covid flash crashed the market in March of 2020. It's now July of 2022. I'm still holding my breath over 2 years later on precovid SW rates. You probably have some valid input that people like Phil Knight didn't become a billionaire through "reckless spending"

[oldbutstillgoing]

Extraordinary events like a like war or a pandemic, will alter malter marketplaces for an unknown amount of time period but eventually, markets, economy's recover and market pressures go back to work with full impact.

But again, back to the orginal question, a smart business woman is not exploiting the marketplace. A smart businesswoman or man, adjusts their business practices according to the current conditions. That may be to maximize profits in a boom,or to minimize loss in a bust

[GayleMeyers]

Originally Posted by oldbutstillgoing

Extraordinary events like a like war or a pandemic, will alter malter marketplaces for an unknown amount of time period but eventually, markets, economy's recover and market pressures go back to work with full impact.

But again, back to the orginal question, a smart business woman is not exploiting the marketplace. A smart businesswoman or man, adjusts their business practices according to the current conditions. That may be to maximize profits in a boom,or to minimize loss in a bust

Well said!

[ChloeOcean]

Correct it’s called Capitalism. The law of supply and demand.