Every new industry, without exception, goes through the same birthing process: First comes the new idea, often based on some tech breakthrough, and all kinds of startups start appearing. Then the market gets flooded, and most of those pioneering companies eventually get squeezed out — leaving behind the survivors, who can become very large and profitable.
It’s happening again with cannabis, but with something different. The Federal Law is getting in the way of this natural evolution. And cannabis is either legal, or it’s not, and it’s definitely illegal to ship across state lines. So we end up with crazy market distortions, like the northwest, where way too much product is bottled up within state boundaries.
Sure, Jeff Sessions and his ilk are just bumps in the road, and they’ll disappear. And when 70% of Americans favor some kind of legalization, and states are starving for new tax revenue, then you KNOW we’ll be seeing coast-to-coast legal, just like in Canada. But for now, cannabis companies have to deal with a messed-up society — and stay alive.
What to do? I’ll quote Steve Jobs, “Think different,” which most startup entrepreneurs are not doing. (Also “Think strategic.”) Because while we know cannabis will have a society-changing future, that won’t mean much if you fail within a year or two.
Here are some thoughts and suggestions.
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