Elizabeth Winkler
speaker
99 appearances
4 recordings
1 series
first heard Jul 2018
last heard Dec 2018
Elizabeth Winkler’s voice in public audio — every appearance, attributed to the second.
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Appearances
That's right.
I think they're trying to tamp down the anxiety around this by saying that they've been reducing their exposure to China anyway, and it's become in many cases increasingly expensive to manufacture in China.
But yes, there is still huge exposure and upending those extremely complicated supply chains, especially at such short notice, is not easy.
That is right.
Absolutely.
Toys are not actually on the list right now of goods that could be hit by tariffs.
But sporting goods like baseball gloves are, clothing, furniture, that's all in the 40 to 60 percent range in terms of U.S.
imports from China.
So it's substantial.
And that was a difficult time for them.
They had too much on the shelves and they had to discount a lot, steep discounts, and that hurt profits.
In December 2017, they really got that under control and they performed much better because of that.
So, yes, the risk now, if they order too much, is they wind up with too much on the shelves and they have a bad season like they did in previous years.
Exactly.
These are incredibly complicated supply chains, and they are that way for a reason.
And to relocate is an expensive undertaking.
It's a difficult one, and it's not one that is done quickly.
Right.
My pleasure.
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