Opportunity In The Midst Of Chaos
Have you heard of the Coronavirus?
It seems like every news article I come across is about Covid-19 and its effect on the cannabis industry. From a possible vape cartridge shortage to a spike in retail sales, it’s getting hard to avoid seeing the word Covid. Rightfully so I might add, it’s not every day that a worldwide pandemic threatens the supply chain of just about every industry known to man. As businesses scramble to source the parts they need to make whatever it is that they make I can’t help but think about how important it is to have as many solid business connections as possible.
The concept behind The Connec is to put the cannabis industry on a platform and make it easier for operators to find the valuable connections they need. Whether it be a cultivator looking for a distributor to get their products on more shelves or a manufacturer who needs some biomass, we all benefit from being connected to as many sources as possible. The legal cannabis supply chain is not only comprised of licensed operators but there are countless ancillary companies that supply the industry with the non-cannabis products or services they need to conduct their businesses. In times like these, it is vital to have a solid supply chain in order for your business to survive. This is evident when you consider that 90% of vape cartridge hardware originates from China. Companies who didn’t stock up before the pandemic are now forced to find new sources for their hardware. Luckily there are some US-based manufacturers that can supply them, albeit at a premium price. This creates a great opportunity for US manufacturers to acquire new customers but it also puts a financial strain on the cannabis operator. This may do the trick in the meantime but businesses always need to be mindful of costs so at some point they will need to establish new connections.
If history has taught us anything, it’s that when an industry is shaken up there are opportunities that are created and it is safe to say that our industry is being shaken up by the Coronavirus. I plan to watch for opportunities that arise and highlighting businesses that are solving the problems caused by this shakeup. If you know of any companies that are helping cannabis operators adapt to the pandemic or would like to be featured in our blog email us at info@yourconnec.com