Why I believe the "Adption Industry" is the Human Trafficking Part 2

Lets critique some of the ideas communicarted about adoption....

1. Agencies "discount" their fees for adoptions based on ethnic backgrounds, or other issue affecting adoptibility.

Im going to be blunt here. As a small business consultant, I regularly deal with the issues of operating overhead costs, profit margins, sales pricing, market demand etc... and I dont buy this explanation.

It is fundementally impossible to do business at a rate that does not cover overhead.

Scenario A
If you sell widget A at $15,000 and widget B at $39000 and the costs are THE SAME for your overhead (lets say $13000), the your profit on widget A = $2000, and your profit on widget B is $26000, or a combined total of $28000.

If all you have is demand for widget A, you still make a profit, just not as much.

Scenario B
If you sell widget A at $15,000 and widget B at $39000 and the costs are THE SAME for your overhead (lets say $30000), the your profit on widget A = -$15000, and your profit on widget B is $9000, or a combined total of -$6000 and you are out of business.

If all you have is demand for widget A, you have no business to worry about.

It is simply fallacious to say that anyone "discounts" their fees. Lets say it like it is... they "discount" their SALE PRICE. And the average of their PROFIT MARGIN simply needs to be in the positive. Essentially there is a "tax" on buyers of widget B, or a "premium", or an "upcharge". The costs are the same, but they choose to discount their price on certain products because it is offset by the profit on other products.

That is called a LOSS LEADER. It is the 2 bags of tortilla strips for $5 around Cinco De Mayo so you buy 3 jars of salsa that have a high profit margin, and 2 12 packs of beer.

Lets reword this. Lets say Im a pimp. I have 3 prostitues, 1 gorgeous ex model, 1 average looking, and 1 disabled woman. The price is so high for the ex model, but the demand is still there. Good marketing and price setting on my part. The average looking woman doesnt have the same demand until the price comes down. I set the price to keep the demand as high as possible without losing money. My disabled hooker is so undesirable, that I have to "discount my fees" to make sure she gets a fair shot at income.

That sound like B.S. doesnt it? If I didnt make enough on any one of them, I would get rid of them.... Crass and crude, but in my mind pretty close to it.

If the process is the same for a caucasian as another race, but the "fee" is different, we should just simply say outright "The fee structure varies because of demand, and we discount our service prices and make it up on other adoptions to cover the costs".

Im not accusing anyone of lying. Im simply stating that this adotpion industry is a flat out market, and a pretty efficient one at that. And lets not say "we discount our fees", lets say it for what it is "We cannot get the price we want, so we charge differently based on our assesment of what the market will bear".

I do this ALL THE TIME with companies.