• 0 Posts
  • 11 Comments
Joined 2 years ago
cake
Cake day: June 18th, 2023

help-circle



  • But the price increase kinda is a symptom of the underlying issue. For reference, the reason that subway subs were $5 for a long time was that the company was trying an advertising campaign to grow the brand, which it did amazingly well (honestly, far too well). However, those were not sold at a sustainable price, but whenever the company tried to raise the price it was perceived very poorly by the market. So they kept the price low for a long time, and eventually had to raise it but due to inflation (and decreasing the sub size to compensate for the low price before that), but the price increase was pretty drastic to most of the customers who often stopped going there.

    In other words, the company kept the price down artificially to keep their stock price high, and foisted a lot of the actual costs onto the franchisees, of which they had tons. Which is obviously not a sustainable business model, and it’s why less people go to subway anymore.




  • The irony is that this is often true. I have always preferred shirts that have minimal advertising on them (preferably none, but a dime sized insignia is generally the best you get) but they are notably harder to find and when you do, they are more expensive. The happy medium I have found is looking for used Polo type shirts that were expensive when new, which I can generally find cheaply because collars aren’t a popular look these days.



  • Plus the actual cost of transport and guarding that transport doesn’t seem like the profit would actually be worth the risk. It mostly seems like why would we bother, not enough reward for the risk.

    Edit: OK, some back of the napkin math, if a tanker holds 11,600 gallons and a barrel of crude oil (42 gallons to a barrel) costs around $85 (current prices), then the revenue of the 69 oil transports would be around 1.6 Million dollars. This is assuming they got current prices, the army basically sent enough soldiers to protect a full convoy, and they didn’t have to drive too much of a distance to an oil refinery. After taking into account expenses, that really is a stupid low profit for such high risk (if a soldier was shot for instance it would definitely be in the news). I do not buy the story, way too much doesn’t add up from a financial perspective.