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re: Gas shortages and price gouging

Posted on 9/18/16 at 10:28 pm to
Posted by dabigfella
Member since Mar 2016
6687 posts
Posted on 9/18/16 at 10:28 pm to
Let me explain this business to you because you may not understand it. Each store has tanks underground. You can only get a new load when your 8500-15000 gallon tank dips below 1000 gallons. If you dont get gas delivered even if you have 499 gallons, your tank will begin to slowly restrict what comes out and you will "run out". At that point you sell your midgrade or premium but no loads are available to purchase for those guys. So lets say you're a high volume store and you do 10,000 gallons a day at say .10/gallon net. You make $1000/day off gas. If you're not getting fuel for 7 days lets say. Do you a) lose $10,000 or b) raise the price on your existing load to fend off potential risk and make potentially what you wouldve made in that time frame?

Gas is product that fuels the inside sales which is the real big money. If you're not gonna sell 10,000 gallons/day for 7 days your inside sales will fall off. You could potentially lose big money, so making as much as possible is not gouging and anyone who says it is, is a complete moron. These stores are mutlimillion dollar investments and anyone who has a problem with how they operate in situations like this should take some of their own money and open their own gas station and run a charity for the world.
Posted by PatDyesPants
Loachapoka, AL
Member since Jan 2016
3403 posts
Posted on 9/19/16 at 12:07 pm to
I believe as a station owner you should be allowed to charge whatever you want whenever you want.
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