Price Hikes on Toilet Paper and More

Price Hikes on Toilet Paper and More

May 27, 2021

Just when it seemed like the toilet paper crisis was finally under control, Kimberly Clark is making headlines again.

The second largest toilet paper manufacturer in the U.S. is planning hikes to its list prices beginning in June 2021.  This time, the primary disruptor is commodity prices rather than the pandemic hoarding that stripped shelves bare this time last year.


Video Spotlight: 


This post is based on the NBC News article, Toilet paper, diapers, and other consumer products are latest to see price hikes, by Ben Popken, April 1, 2021; the CBS News article,  Coronavirus pandemic forces sharp price hike on consumer goods, by Carter Evans, May 4, 2021; and the YouTube video in the Spotlight. Image source: eldar nurkovic/Shutterstock

Discussion Questions:

1. What products are slated for price hikes?

Guidance: Kimberly Clark reports that prices will increase for baby products such as diapers, adult care products, and Scott bathroom tissue.  The company’s product lines include Cottenelle, Viva, Kleenex, Kotex, and Huggies.

2.  How do the new issues faced by Kimberly Clark differ from those which occurred in Continue reading

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Peloton’s Supply Chain Can’t Peddle Fast Enough

Peloton’s Supply Chain Can’t Peddle Fast Enough

February 11, 2021

Delivery delays for Peloton’s exercise bikes have threatened the company’s market leader position.

Since the lockdown in March 2020 due to the pandemic, demand for Peloton’s exercise bikes and treadmills has surged.  However, with the shipping delays at ports from overseas manufacturers, Pelton is struggling to make timely deliveries, amidst order cancellations and requests for refunds.


Video Spotlight: Peloton tops earnings expectations, warns of supply issues due to uptick in sales amid coronavirus (Nov 6, 2020, Yahoo Finance)


This post is based on New York Post article, Peloton customers are canceling their orders after months-long waits, by Nicolas Vega, November 24, 2020; the Freight Waves article, COVID broke Peloton’s supply chain – can $100M fix it?, by Brian Straight, February 6, 2021; and the YouTube video in the Spotlight. Image source: SolStock/Getty Images

Discussion Questions:

1. Comment on the importance of accurate forecasting for Peloton’s supply chain.

Guidance: Peloton’s inability to accurately predict shipping delays from overseas manufacturers has caused product shortages that lead to missed deliveries and poor customer service.

2.  How are Peloton’s supplier sourcing policies relevant to the current shortage?

Guidance: Peloton sourced its bikes and Continue reading

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Forecasting Halloween During a Pandemic

Forecasting Halloween During a Pandemic

September 20, 2020

Tricky forecasting leaves chocolate companies wondering how candy sales will fare this Halloween.

Mars’ time horizon for planning for the Halloween season spans two years, yet no one could have known how different things would be this year because the pandemic.  For Hershey, Halloween spending comprises ten percent of annual sales.

No one is sure right now if “self-consumption,” when people buy Halloween candy to eat themselves rather than to distribute to others, will be enough to fill the gap of sales lost from trick-or-treating.


Video Spotlight: 


This post is based on the Fortune article reposted to Yahoo Finance, How scary will a COVID-19 Halloween be for candy companies?, by Beth Kowitt, August 29, 2020, and the YouTube video in the Spotlight. Image source: Shutterstock / Sandy Morelli

Discussion Questions:

1.   What role does aggregate planning play in the current availability of candy for Halloween of 2020?

Guidance: Many companies have a long planning horizon.  In part this may be to ensure adequate supplies of materials and resources when it comes time to manufacture product to meet demand. In addition, manufacturers need to Continue reading

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