Why would you produce something for what there is not demand? Is not this the first lesson for start ups? searching for a market-product fit?<p>Do you agree that the goal of a business is profit?<p>Ergo, is the prediction of profits what create production. This is the core of the capitalist system, isn&#x27;t it?<p>If a business don&#x27;t see profit in its future, the rational thing to do is decrease production and, more important, stop new investments. That means lay offs, no new hires, etc..<p>Less people with jobs, less people with money, less demand, less future estimation of profits. Feedback loop.<p>Then come the creative destruction, that is supposedly a good thing. People is more desperate, accept worse conditions, business not &#x27;efficient&#x27; enough close, this create less competence in the market and people ready to work for less. The survivors can accumulate more claims in the economy, what means concentration of capital in less hands. Rise and repeat.