The inversion of the business model is one of the key strategies for market domination that a demand data advantage allows. Enron is our key example, in that they positioned themselves to be able to harvest more information than anyone else in the market. They were constantly making transactions with producers, and taking price and quantity information in on that side. But they were also turning around and selling that gas to consumers on the other side of their pipeline, and taking demand information from those transactions. Enron’s pipeline was a physical one for transporting gas, but also an informational one, offering them more data that any one gas producer or customer. By gleaning data from one side, Enron had a better idea of how to trade with the other. Therefore while most market participants would use their own production – how much they were selling versus their rate of production – as a hedge to protect against trading activities that might be too risky, Enron, because of their informational advantage about what was happening on both sides of the market, was using trading as a hedge against production risks. The result was that trading that could be much more profitable because they could offer prices that others would not – because they had information that others did not.