The Game with Alex Hormozi Supply vs. Demand: Stop Focusing On The Wrong Problems | Ep 899
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Jun 3, 2025 Business owners often struggle not due to a lack of effort but because they're tackling the wrong problems. Learn how to identify whether you're supply- or demand-constrained for better business growth. Discover actionable strategies to diagnose and overcome these constraints effectively. This insight could be the key to scaling your business and making it thrive!
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Supply vs Demand Constraint
- Businesses have either a supply constraint or a demand constraint, but never both simultaneously.
- Identifying which constraint you face is crucial to applying the right growth strategies.
Fix Supply Constraints by Pricing
- If supply constrained, raise prices significantly to reduce clients and increase profit.
- Also consider serving more clients simultaneously or hiring more staff for capacity.
Shift Focus From Product to Marketing
- If demand constrained with a great product, reallocate resources from product development to marketing.
- Increase customer awareness rather than over-improving product features.