Ideal Cannabis Economics Part 2: Distribution and Branding

Prior to legalization, distribution for small cannabis farms was decentralized and fragmented. Every farm had a different method they preferred: some wanted to sell all at once to the first buyer in town and walk with the cash, others wanted to feed a loose network of friends and connections with a steady stream of smaller shipments, and still others had preset arrangements with buyers they had worked with for years. However it was done, distribution was a thriving industry, with high enough profit margins that farms could get multiple thousands of dollars per pound, with plenty left over for distributors. There was a real risk of being robbed, and rip-offs happened often, sometimes violently. Middlemen would leverage this risk to justify their cut when moving product for farms- they ran a high risk, high reward logistics system, and the market cost of their risk was factored into the final sale price. <a href="https://higher-origins.medium.com/ideal-cannabis-economics-part-2-distribution-and-branding-39289af270f0">Learn More</a>