Canopy Growth Corp (WEED)

[OnlyGoLong]

When demand outpaces supply, competitors would be foolish to try and gain sales by being the lowest price competitor. They will sell out regardless of keeping prices at market levels or dropping them - so there is no incentive or a competitive advantage gained by lowering prices.

Now, in a few years when supply catches up to demand, then it's a different game to play. The lowest price will likely come from a large scale producer with low production costs - not a startup out of the gates. It takes time to get production costs down - even Aph who is the best at it didn't start-up with nearly the low production costs compared to where they are now.