Making the Money - the Arbitrageur

Sometimes people want to make money on the trade, but not bring the seller and the buyer together, because the discrepancy of the price between those two parties.  Those people who make money on the price inefficiencies are arbitrageurs.  They can make almost risk-free profits if they handle those trades correctly.

So what arbitrageurs want is not a well-developed market.  In a more general form, the arbitrageur can profit from information inefficiencies.  Information could be anything, such as price information and technology information.

So if you know how to make things better or faster with the same amount of money, or make the same product with less money or in a more efficient way.  You can make money on it.

Another important thing about arbitrage is keeping the information secretive.  Because you don't want to have too many competitors.  Competition usually will make your profit lower.