Tequila maker says tariffs won't affect his prices. Here's why he plans to absorb costs
Tequila maker says tariffs won't affect his prices. Here's why he plans to absorb costs
Colorado-based Suerte Tequila said it will absorb all tariff costs.
hear that, conservative business owners? you get to lower your profits because of trump... or lower your profits because you have to raise prices.
either way, you lose. we all lose.
The main points here seem to be:
Smaller size and own the land used to grow Agave, which is not normal for the size of the company but cuts costs by having this in place.
Planned for it? To me, this means they were already overcharging you so now they don't have to raise. It will just cut into their profit a little but may give them the upper hand if people notice they are now cheaper than the rest or that they didn't raise it at all and may lead to more sales and recognition.
Don't have to answer to shareholders who will not tolerate a loss, meaning they absolutely will be raising the prices.
It's weird that you're framing a company taking less of a profit during a financial downturn as a bad thing.
Planning for it could easily mean that they kept extra cash on hand to float them through a trump presidency, which is what smart companies should be doing.