Category Archives: jobs

Profit Sharing for Profit Making

[This article is also posted on Plastics Today.] Last time, we learned that Poly Wise is attempting to structure a deal with a polypropylene supplier utilizing the new resins pricing paradigm. They offer to buy polypropylene on a long-term contract … Continue reading

Posted in competitors, crude oil, employees, Energy prices, Futures, jobs, manufacturing, new resins prices, plastics manufacturers, profit margin, Strategies | Tagged

New Pricing Paradigm for Higher Margins and a Secure Future

[This article is also posted on Plastics Today.] A recent study (Plastics Today, 27-June-11) indicates plastics manufacturers are happy with an 8% return on sales (gross profit margin) because the historical average is 5% to 7%. If you’re happy with … Continue reading

Posted in competitors, crude oil, customers, Futures, hedging, jobs, manufacturing, margin risk, new resins prices, plastics manufacturers, profit margin, Strategies

Pricing Choices for Sales and Profits

[This article is also posted on Plastics Today.] As discussed in Pricing Choices, reliability, quality, and service have gone from being ‘game changers’ to ‘admission tickets’ for manufacturers to compete for new business — and hold on to what they … Continue reading

Posted in commodity prices, competitors, customers, hedging, hedging instruments, jobs, manufacturing, plastics manufacturers, profit margin, sales, Strategies

Smart Chocolate

[This article is also posted on Plastics Today.] In the post below, I discuss how big banks made small fortunes by capitalizing on rising commodity prices while non-hedging manufacturers took a hit. Ironically, the big banks did the very things … Continue reading

Posted in commodity prices, Futures, hedging, hedging instruments, jobs, manufacturing, plastics manufacturers, profit margin, Strategies | Tagged , , , ,

Manufacturers Take a Hit, Big Banks Cash In

[This article is also posted on Plastics Today.] High Commodity Prices Slow Manufacturers (WSJ, 1-June-11) “U.S. manufacturing growth slowed substantially in May, as the ISM index fell to 53.5, the lowest level since September 2009. … higher commodity prices and a sharp … Continue reading

Posted in commodity prices, Energy prices, hedging, jobs, manufacturing, plastics manufacturers, profit margin, rules | Tagged ,