Hasbro's Feeling The Squeeze

Discussion in 'Transformers Toy Discussion' started by TFXProtector, Nov 29, 2018.

  1. KnightHawkke

    KnightHawkke Flynn Lives

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    And it can't be overlooked how DisneyLucasfilm put the screws to Hasbro either. The combination of trade changes and DLF driving paying fans away with the excessive social media lies, virtue signaling, and plain bad movies can't be helping as Star Wars toys rot in outlet stores.
     
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  2. RKillian

    RKillian http://www.rktoyandhobby.com

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    When the Internet was mostly American, you saw more criticism of one-sided trade deals. These days, people from countries that stand to lose if American policy benefits American citizens (the real type, not chartered) are coming out of the woodwork to do what's called "concern trolling." Every "fact" they post that "proves" gutting labor and environmental protections is actually good for Americans should be scrutinized heavily.

    By the way, did anybody know that Hasbro used to manufacture injection-molded plastic toys here? They could do it now, too, if they wanted. Oh, they couldn't look the other way as "partners" abused workers and they'd have to get their act together on distribution, but there's nothing inherently impossible about the proposition.
     
    Last edited: Nov 29, 2018
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  3. Scourgatron

    Scourgatron 4D Smart-ass

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    Thread won
     
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  4. Hicks_Royel

    Hicks_Royel Hurts feelings being honest.

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    SmartSelect_20181129-232912_Chrome.jpg

    So you know, the Camry, Avalon and now ES350 are among some of the most American made cars in their vehicle classes.

    The majority of the components are made and assembled in the country.
     
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  5. TFXProtector

    TFXProtector TFW2005 Supporter

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    I stand fully corrected.
     
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  6. pluto

    pluto Banned

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    Yeah so it turns out rampant neo colonialism by exporting labour costs to unregulated markets for the sole benefit of corporate higher ups is terrible in the long run and especially so under hyper nationalist and populist governments seeking to score cheap political points.

    WHO COULD HAVE GUESSED.
     
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  7. Aimless Misfire

    Aimless Misfire Banned

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    [​IMG]
     
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  8. jru42287

    jru42287 Ass Möde is a way of life.

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    Yet, if things become more expensive across the board because of increased productions costs, what exactly is "more pay" actually going to do? Nothing, really. We'll be in the same equilibrium we have now. We already hate the fact that we have to pay twice as much for a deluxe toy that's half the size they were 10 years ago. Imagine what will happen to the economy when people look at the price tag and go "Holy shit. Sorry, Timmy, you're not getting that."

    You know, I had to rent a brand new Ford Focus Hybrid from Enterprise when I hit a deer on the interstate with my Mazda 3. I ended up having to drive that thing 11 hours each way to Chicago for a vacation, and dear GOD did I hate it. For it being a hybrid, the gas mileage was not that great, and I was flabbergasted at how cluttered and confusing the dashboard was compared to my car. There were Goddamn buttons everywhere. Going with Aimless Misfire's theme above, it was like the joke in Airplane! when they walk in the cockpit and the camera pans across a ludicrous number of panels and switches.
     
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  9. ar78

    ar78 Well-Known Member

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    Toys are not yet on the tariff list. Transformers are produced nearly exclusively in Vietnam and will soon be produced in Thailand and Indonesia as more factories come online.

    SO TARIFFS ARE NOT A REASON FOR INCREASED COSTS, but will be used as an excuse as to why Siege toys are priced 30% higher than Prime Wars.

    Most producers are moving away from China and it started long before the tariff threats. China is simply becoming too expensive for distributors in order to satisfy the insatiable hunger for more retail margin. You are paying far more for products while the big retailers are actually paying the same, if not less than they were. Over the past 20 years average retail margin has expanded from 30% to 60%+. Don't look at any Wall St report either. Average margin is fudged for reporting purposes and often only reflects end store margin. Did you know that Dick's Sporting Goods retail stores are registered as a different corporation that the Store Support Center that supplies the product? They are all part of the same umbrella corporation but inventory is sold to the stores by the Store Support Center with different margin booked at different times. Meanwhile the company that produces the batting helmet sells it for $20 but it goes on the shelf at Dick's for $55. Can you tell me what Dick's does for their $35 gross profit?

    Hasbro is in the same boat but they've also decided to stuff themselves on the increased margin they got from transferring production to Vietnam instead of passing it on to consumers.

    The long story short in that the global economy is completely broken from start to finish.
     
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  10. bossman328

    bossman328 Well-Known Member

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    GM and Ford are laying off THOUSANDS of people...closing down plants and whatnot. It doesn't look like the tariffs are forcing companies to make more products in the US or create more American jobs...
     
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  11. Dachande

    Dachande MULTI-QUOTE- USE IT. Super Mod

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    Please, find me a corporation that answers to shareholders that WOULDN'T do exactly the same thing.
    I don't hate Hasbro as much as some apparently do, but honestly, they aren't doing anything "more evil" than other companies that make non-essential products.
    It's a sad state of affairs.
     
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  12. Farstryder

    Farstryder Well-Known Member

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    Aaron Archer, Google him if you need too, has stated, to the effect, that the plastic toy market is unsustainable. Rising costs of materials, shipping and labor will be passed on to the consumer. Each individual consumer will decide their own breaking point. When enough have tapped out the show is over.

    The thing that irks me with the new price points is the extra paint apps for the "weathering" effect. I once watched a program that talked about how each individual paint app added to the cost of production. How much could have been saved by leaving that off.
     
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  13. RKillian

    RKillian http://www.rktoyandhobby.com

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    Understatement of the year. It's all balanced on the belief that a few executives can skim millions off of wage arbitrage in lieu of delivering any actual value. You go back to a system where the boss makes 3 times as much as his employees instead of 3000 and suddenly alot of stuff magically stops being unsustainable. But you'll have to drag many unearned incomes kicking and screaming back to such a system.

    Hasbro gets on my nerves because their spiel about not wanting to be beholden to Walmart is a lie. Everything they've done has made it more difficult to compete with Walmart. Just look at prices on the popular online storefronts. They've given up trying. I'd be terrified to depend on toy sales for living expenses. Unless you can order a million dollars a year (or, to put it in perspective, 20 times the median US income), you can't get this stuff cheap enough to clearance half of every order without bleeding a sea of red ink. I tell anybody that'll listen that it's suicide to open up a distribution account.
     
    Last edited: Dec 1, 2018
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  14. SG Roadbuster

    SG Roadbuster SG Wrecker

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  15. Fenrys

    Fenrys Formerly Tigatron2002

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    Pretty sure anyone that actually knows what they’re talking about won’t make that claim, they’re priced consistently with tlk premier edition and studio series figures, both of which predate the tariffs. Anyone thinking the tariffs are a reason for increasing cost on transformers is not well informed
     
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  16. bobagorof

    bobagorof Well-Known Member

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    I know someone already responded to this, but I want to hammer the point home because it's an important distinction and lots of people don't seem to realise it:

    China will NOT pay the US any extra because of increased tariffs.

    Tariffs are charged to the importer and paid for by the local consumer. China (or more specifically the Chinese producers) aren't charged anything unless they have a presence in the US and are importing the goods. That's usually not the case - it's the local retail outlets (or multinationals) making the orders who have to pay the tariff, and then recoup that money by passing the costs on.

    Tariffs are placed on the goods to make them less competitive in the market, so consumers are more likely to purchase locally-produced goods and thus support the local industry. This, if successful, will have the flow on effect of lowering the amount of demand for imported goods.
    But it is the consumer who ends up paying for the tariff, because the cost of the imported good has been artificially increased.
    So, increasing tariffs means increasing the overall cost of goods for the end consumer, because the more expensive locally produced goods are now the baseline rather than cheaper imports.
    Meanwhile, the foreign producer may have less demand, but they don't pay the US Government anything extra. The money is all coming from businesses and individuals inside the US.
     
  17. reluttr

    reluttr Well-Known Member

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    So, how does this explain Takara's across the board increase in price?

    I'd be more inclined to believe the price increase was actually more a combination of increase in cost of production, workers wages, and decrease of demand.
     
  18. Fallout

    Fallout Banned

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    kony 2012.
     
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  19. Blackout32

    Blackout32 ANTHRAX - PERSISTENCE OF TIME

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    Absolutely freaking right on my man i couldn't agree more. Can everyone give me a "LEM-MY,LEM-MY". God i really miss Lemmy and Motorhead as a band as hes been passed away 3yrs. It just seems so long ago but its not and i know my brother is having good conversation with him

     
    Last edited: Dec 3, 2018
  20. TFXProtector

    TFXProtector TFW2005 Supporter

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    Probably all true. Possibly some corporate greed. Either way, Hasbro's going to have it worse because the government is providing roadblocks to getting their wares sold, where Takara Tomy doesn't currently have that issue.