- 70% of all sustainability projects result in cost savings. My question is, why would any profit-motivated company ever do the other 30%?
- Victims of direct-to-consumer demand:
- Such mundane things as household cleaners are now being air-freighted around the USA – courtesy of the need for 1 or 2-day delivery
- “If you think about the sales productivity across the entire supply chain, paying a high [warehouse} rent is not a big deal,” – a real estate analyst talking about Amazon-type businesses. And yes, rent is traditionally <5% of supply chain costs, whereas transportation is north of 60%
- The Supreme Court ruling that all mail-order sales must pay local sales taxes will slow growth. When Amazon started charging sales tax in some states, sales dropped by 9.4% – but this predates the ruling
- Oil is not being discovered fast enough to support projected world demand
- In the US, we know where the oil is; we just can’t get it to the refinery cheaply enough – until more pipelines are built
- Jobs that used to require a college degree are eliminating that hurdle … potentially taking some road scholars (truck drivers) off the road
Oil is back over $70 on Monday afternoon!