Remember a few weeks ago I posted an article about how Starbucks CEO shot his arrogant mouth off in protest to President Trump by pledging to hire 10,000 refugees over the next five years. Well, here’s the proof of what happens to CEO’s who make political statements thinking they are immune to the market.
I posted earlier what happened to Target during the first quarter after announcing that any one can use any bathroom they choose based what gender they identify with – Really? Well the”Invisible Hand” once again stepped in and their 4th quarter results were 4.3% below same quarter 2015. Brian Cornell, chairman and CEO of Target spun the decrease this way, “Our fourth quarter results reflect the impact of rapidly-changing consumer behavior, which drove very strong digital growth but unexpected softness in our stores,” Yeah right. Your customers don’t enjoy having to use one of your multi-gender restrooms, ya think?
But then I digress, back to Starbucks. One of my investor pubs reported, “Starbucks shares are trading lower, extending the week’s declines as investors continue to battle with the company’s efforts to fix through-put issues and capitalize on mobile order & pay demand. LOL. Now that is what most of us would call “spin.” What about the refugees you are hiring rove Americans, think that may have impacted your same store sales? The financial pub did find in their hearts to mention, “…….slowing sales momentum for Starbucks in the current fiscal second quarter as brand sentiment had seen some volatility following the company’s announcement to hire 10,000 refugees over the next five years” Yep, the “Invisible Hand” again. Consumers rule, companies exit and prosper at the pleasure of us! Remember that folks. Oh, how I love to watch capitalism at work.