Category Archives: Business/Economy

Climate Change Could Increase Beer Costs — Supply Chain Dive

Climate change could affect beer supply chains such that consumer prices may double: “Due to an increased likelihood of extreme heat and droughts, barley yields worldwide could decrease by 3% to 17% by 2099, sending cost increases rippling down the supply chain, according to a study completed by climate-change economist Dabo Guan at the University of East Anglia in Norwich, U.K.” P.S. Worried about costs? While you can’t change the climate or do much about tariffs, learning to optimize your processes...

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Is Sears Too Far Gone to be Saved? — Chain Store Age

Some analysts fear that there is little that can be done to save Sears from eventual closure and liquidation: “In our view there are a multitude of factors that have contributed to Sears’ demise, but foremost among them is management’s failure to understand retail and evolve Sears in a way that would have given the chain a fair chance of survival. Although the present leadership team needs to shoulder much of the responsibility, the missteps arguably go back to the...

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Sears Files for Bankruptcy — USA Today

Sears has filed for Chapter 11 bankruptcy and has announced a new round of store closings: “Sears Holdings will close another 142 stores by about the end of the year, on top of a recently announced round of 46 store closures, as part of the bankruptcy. The company has 687 stores and about 68,000 employees.” P.S. Analysts have long predicted this outcome for Sears. Still, the news puts suppliers, customers, and employees in a tough spot. If you need help re-evaluating...

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USPS Proposes Rate Hikes — Supply Chain Dive

The United States Postal Service is proposing price hikes on some of its services: “Rate increases on parcels range from $0.70 to $1.05, depending on the size of the package. First-Class Package Service, often used by businesses for fulfillment, will switch to zone-based pricing.” P.S. Will postal increases affect your supplier business? Our experts can help you optimize your business processes and adapt to new conditions: Schedule a consultation today!

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Report: Sears Preparing for Bankruptcy Filing — NBCNews.com

Several media outlets report that a bankruptcy filing by Sears is imminent: “The company, which hasn’t turned a profit since 2010 and is $134 million in debt, recently approached several banks to prepare for bankruptcy filing, CNBC reported Wednesday. Shares plunged almost 20 percent on the news, and are set to open at a record low.” P.S. News about Sears hasn’t been good for a long while. If you are a Sears supplier, it is time to rethink your retail...

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Walmart Partners with MGM to Offer Video Content — Reuters

Walmart is partnering with MGM to create content for its video streaming service: “Walmart and MGM will make the announcement at the NewFronts conference in Los Angeles on Wednesday and unveil the name of the first production under the partnership, which Walmart will license from MGM. ‘Under this partnership, MGM will create exclusive content based on their extensive library of iconic IP (intellectual property), and that content will premiere exclusively on the Vudu platform,’ Walmart spokesman Justin Rushing told Reuters.”...

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Target Introduces New Private Label Line — Walmart

Target has introduced a hip new line of private label CPG products with an emphasis on low pricing: “The new line was designed mostly with price in mind, according to the company, which estimates that Smartly products cost roughly 70% less than national brands. More products will be added to the line through early 2019, the company said.” P.S. Have you reviewed your private label strategy lately? If not, our experts can help. Book a consultation today!

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FDA Bans 7 Synthetic Flavors and Enhancers — FoodDive.com

The FDA is cracking down on the use of flavors and enhancers that it believes to be detrimental to health: “The U.S. Food and Drug Administration announced Oct. 5 it will no longer allow seven synthetic flavoring substances and enhancers to be used in foods and beverages. The action came in response to a 2016 citizen petition from consumer and environmental groups showing the substances induce cancer in laboratory animals, the agency said. The groups sued the FDA earlier this year to...

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Companies Struggle to Maintain Sustainable Procurement Standards — Supply Chain Dive

Despite consumer demands for ethical and transparent business practices, many companies struggle to maintain sustainable supply chains: “Almost three-quarters (73%) of large companies and 66% of small and medium companies received a score of 40 or lower for sustainable procurement. Any score under 45 represents medium to high risk of the procurement instability, reputational risk and overall business disruption that can come from complacency in areas traditionally seen as “corporate social responsibility” (CSR), according to the report.” P.S. Have you reviewed...

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Analyst: Consumers Want Grocery Discounts — FoodDive.com

Shoppers look for deals and discounts in grocery more than other retail channels: “Valassis CMO Curtis Tingle said in a news release that consumers have more options than ever when purchasing groceries. ‘Whether they shop online, in-store, use a delivery or pick-up service or prepare meal kits at home, it’s critical for grocery retailers to consider shopper preferences. Consumers want deals, convenience and a personalized experience,’ Tingle said.” P.S. Does your supplier business sell grocery items? What steps are you taking to...

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