Another one bites the dust
- Thread starter Paul1000RR
- Start date
SHHH Don't blab. The economists don't want us to think about that until it's too late.
-D-
Banned
Who said there was a drop?
Did they purposely keep the market pricing high here to make the case as to why they have to close the plant?
So it looks like I am losing $5million in sales but in reality I will save $15 million by closing a plant.
They will still sell the same box of cereal here, just made somewhere else.
Apparently much more yogurt, breakfast bars, breakfast in a can and fast food breakfasts.
uhm...
The company has been dealing with a prolonged slump in cereal sales for several quarters. Last month, Kellogg's revealed its breakfast foods division saw a 2.2 per cent sales decline. Other cereal makers report a similar trend.
I'm wondering how would it be more economically productive to start producing and shipping boxes of cereal from China.
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Average labour per hour here 20$ per person. Average wage in china 30 cents. Multiply thousands of units, then pack into a container and ship here = WINNING!
As long as the Canadian gov't lets the companies be bought out, and then transfer the IP and the work offshore this will continue happening.
Canada has many times been described as the most expensive place in the world to manufacture anything. From labour wages, to hydro, to taxes for businesses the list just piles on and on.
It will continue happening, and I don't see much of a will / mandate by the government to stop this and keep jobs here. None of these companies care about the employees...all it comes down to is shareholder value and that's it.
Lay a bunch of people off, stock goes up, hooray for the shareholders!
The consumer swing to healthier options, less carbs, the wheat belly theory ect has contributed to a decline in cereal sales in a market where people are able to excersice options.
90yr old plant with huge aging workforce? Sadly its business 101. Sorry London.
90yr old plant with huge aging workforce? Sadly its business 101. Sorry London.
lator-illa
Well-known member
People are perhaps waking up and realizing that Cereals (and wheat in general) offer no source of nutition. All they do is make you hungry two hours later.
It is saddening though for the people affected.
Those are so f—king ghetto. When folks in the Jane and Finch area start wearing Canada Goose. It’s Ghetto.
LoL I never considered them ghetto but I do see a LOT more of them out there. Mind you there's a lot of those Roots or whoever ones with a similar logo but I don't pay attention to it that much.
I just couldn't justify it to myself to spend that type of money on a jacket of all things...the money can be much better used for other things.
Bingo!
Some greedy idiots in head office are saying "people don't like our cereal anymore! let's cut costs!"
If your crappy cereal was 3$ a box, you might sell some.
I doubt the "healthiest" cereal brands stole their market, people can eat bacon and eggs for less.
lator-illa
Well-known member
They're expanding that's for sure.
However, I don't think CG is ghetto at all....Walk on 5th Ave in New York and there are just as many people wearing it.
