THE CEO’s BLOG
Take one look at Michigan State University, my alma matter, and you want to throw up. First the dean of the business school gets fired and now President Stanley is in the hot seat. Most likely he needs to go but what about the board of trustees who operate the university like their political football. The fact the board wanted only democrat suppliers to sell to the university was so unscrupulous and so deceitful, it is best we re-elect a whole new board. And how is it MSU has record freshman enrollment and a four-year degree now costs north of $100K? Thank the federal government guaranteeing student debt, another debacle. And football? F—k the fans, it is all about the $$$. Why else would MSU play a high school team at 4:00PM and U-M play another high school team that lasts past midnight.
Inflation? Recession? We were up north last weekend and there certainly is no recession up there or any worries about inflation. And this being after the holiday weekend. I travel a lot but I have never seen so many people traveling as much as now. Point in fact. Delta flies to Vegas from Detroit 5-6 times a day and fares started in the $300 range. Now fares are well over $500 and even $700 and the planes are still sold out. Going to Mexico is now double what it used to be.
Want to beat Alzheimer’s? Walk at least 30 minutes a day and you will decrease your odds of getting it by 50%. Want to beat the Detroit Lions? Just show up at Ford Field or wherever else they play.
Is there anyone more famous or in the news than Elon Musk? He is worth $275M and going past $300M very quickly. Tesla makes both Ford and GM irrelevant in market value (TSLA worth about $900B, while both Ford and GM worth about $59B each). Then again, would you want to be Elon Musk?
Good news is that container costs are coming down. Last year about this time they were more than $25K and now running about $16-$18K. Bad news is that Biden is still playing politics when it comes to Chinese tariffs. And all fingers and toes crossed there is no rail strike. More than 26% of all goods are shipped by rail and the strike would be devastating. Worse, bulk food is shipped by rail which would be increase food inflation even more than 11.5%.
Some ask if I miss our printed catalog and I have to say the answer is yes. It was always a big deal and joy when the latest version came out. But alas, with pricing so volatile and TNG constantly updating its inventory mix, the electronic version is my best friend. So user friendly and always up-to-date!
ULTA keeps blowing away the competition. Last quarter was their best one ever, record sales and profits. Thank God for beauty, right! Like travel, consumers can’t get enough beauty products after the pandemic and it sure beats looking at luscious lips than face masks!
Enjoy the rest of your summer!
©2019 Larry Gaynor. All rights reserved.