How do you compete?

Justin Trudeau brags how Canadians are quitting smoking tobacco and now Justin wants 80% of Canadians to smoke pot. He is hoping that this new smoke will bring many new tax dollars into Ottawa tills. 

How will the new producers of legal pot compete with the old back yard producers? The new legal producers have to build factories, hire staff, pay electrical costs, license fees, accountants etc. A high overhead while the back yard producer can continue with his low cost production. 

The back yard producer already has clients and knows his product while the new legal producers will have to compete with other legal producers. New legal producers will want to see a 20% profit on the bottom line or else their stock holders will not be happy. The back yard producers just make money while clients know his product is good. Why would these clients attend the new shops  that are legal and pay more? 

Officials cannot see if your pot is “legal” or bought from the back yard producers. The back yard producers have much lower overhead and does not charge tax on his product. So Justin, who will you purchase your pot from? 

Good luck to the back yard boys, may the smoke be with them. Thanks from a non smoker

Jorgen Hansen

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