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Started By
Message
re: Louisiana bottle plant shutting down due to Bud Light boycott
Posted on 7/3/23 at 10:28 am to Froman
Posted on 7/3/23 at 10:28 am to Froman
quote:
it was Bud Light’s declining but still higher than almost every other beer’s sales that shut the plant down.
You don't understand how economies of scale works, do you?
Is bud light still one of the largest brands of beer in the world? Yes.
Has the boycott significantly decreased sales? Yes.
So if you are the largest brand, then you require more resources to put out that product. All companies operate on profit margins. The profit is your total revenue minus expenses. If you want to produce the most beer then you also pay the most for operating costs to make that beer. That includes warehouses, breweries, distribution, packaging, etc...
Ergo, if you lose $30 billion in market cap, then your sales are cratering, meaning all of that expense is not seeing a return. Thus, they are operating at a loss. And indirect operations, such as bottle manufacturing, also incur a loss.
Rather stupid move to ruin so many jobs/careers all because you decide to go woke and offend your clientele.
But you keep pretending all is well.
Posted on 7/3/23 at 10:38 am to RogerTheShrubber
quote:
Bud execs should have thought of this prior to slamming the culture of its current drinkers.
The CEO is still trying to pretend like this didn't happen.
But, at this point it's probably too late to do anything effective anyway. HK held a masterclass on how to handle controversy.
Posted on 7/3/23 at 10:44 am to upgrayedd
quote:
The CEO is still trying to pretend like this didn't happen.
quote:
Vice President of Marketing, Alissa Gordon Heinerscheid, stating that the brand’s focus is to no longer cater to “frat guys” to promote inclusivity.
Well, she made it happen so its real. Dont hire SJWs to work for companies that cater to men.
Posted on 7/3/23 at 10:50 am to upgrayedd
The CEO is one of the worst CEOs I’ve ever seen. He doesn’t know what the frick he’s doing.
Posted on 7/3/23 at 10:51 am to BugAC
quote:
You don't understand how economies of scale works, do you?
Progressives think Economics is bullshite and oppressive.
Posted on 7/3/23 at 12:07 pm to captainahab
quote:
If bottle sales are down enough to shut down two glass bottle producers
Link for correlation?
An $8B company isn't shutting down a plant over something that happened 90 days ago that caused a DIP in sales.
That closure has probably been in the works for years.
Posted on 7/3/23 at 12:27 pm to Strannix
My BIL has worked at the plant in Simsboro for over 30 years. They have never made Budweiser bottles at the LA plant. As another poster said earlier their 2 main products were the Tito’s vodka “handles” and the small bottles for Tabasco.
They have been on the verge of closing for many years but had been lucky to escape the shutdowns that have closed many of the others. Now the plant in the Carolinas did make In-Bev “colored” beer bottles.
They have been on the verge of closing for many years but had been lucky to escape the shutdowns that have closed many of the others. Now the plant in the Carolinas did make In-Bev “colored” beer bottles.
Posted on 7/3/23 at 1:49 pm to Strannix
That sucks.
Still not buying it.
Still not buying it.
Posted on 7/3/23 at 1:56 pm to Emteein
Posted on 7/3/23 at 1:58 pm to Cosmo
quote:
Likely wanted to get out of LA anyway
They’re shutting down the North Carolina plant as well, but never let a TD narrative go to waste.
Posted on 7/3/23 at 2:23 pm to Stamps74
quote:
when people live with hate in their heart it has real consequences.
I’m still waiting for the consequences of the 2020 riots to come down to the haters
Posted on 7/3/23 at 5:40 pm to saint tiger225
quote:unless is the US Gov, all they have to do is print money, and place another order
Sounds like a dumb business plan to rely on 1 customer to dictate your success.
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