Life and Career Advice
I listen to a lot of podcasts interviewing people on how they got to become who they are and interviews with experts telling people how to become better versions of themselves. What is interesting is how much I hate them and love them at the same time. I too often…
Container Store Surcharge Woes
Container store was surprised by the surge pricing experience they took on from their 3pl this past year. Based off of market demand, it doesn’t look like it is going to stop any time soon The article alludes to a few months back when FedEx called surge pricing “the new normal”. The model doesn’t seem sustainable, companies need predictability on both the buyer and seller side. I imagine an equilibrium will be found or the Convoy/Uber Freight model will begin to prevail where they eat the costs to gain share.
Pandemic Food Supply Chain
Pandemic Food Supply Chain There was a lot of chaos early on during the pandemic. Where was the beef? Restaurants and workplaces shut down and people were ordered, and forced,to stay in. The quantities and packaging that consumers buy vs. what a company buys are quite different and causes problems on distribution and manufacturing end. That left many of them with excess stock that they couldn’t easily redirect to consumers because of packaging-size mismatches. Few home chefs have the cupboard space to accommodate restaurant-size cans of fruit and vegetables, but creating consumer-friendly formats would require additional investment of capital and time. And that would put perishable materials at risk, threatening narrow margins among prices, logistics, and transaction costs.
https://fred.stlouisfed.org/graph/fredgraph.png?g=tCXO Durables are the smallest part of our economy but rebounding the fastest during covid. The largest part of our economy, services, are still down significantly. They were closed for a while and it looked like a supply shock, however, now that they are open again it would be interesting to see this graph updated.