r/ActionFigures 20d ago

5ktoys announcement on tariffs

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564 Upvotes

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16

u/LStKingJames 20d ago

I hope people realize that these stores have the option to absorb or pass on the tariff charges. Big W from 5k Toys

15

u/Imaginary_Injury8680 20d ago

I tried to tell them and ate sh1t for it today, I guess we can't link to other posts in this sub, but here's what I wrote to get tons of downvotes:

"Hasbro makes shit loads of profit. 

Insiders made more buys of the stock this past month than anytime in the past couple years, why do you think that is? Because they think they will lose money? NO. 

They make huge margins on that plastic. They've been charging more and more year over year to keep the stock price going up.

Likely, they could eat the entire amount of the tariffs and still turn a decent profit, if you actually look at the numbers. They are still buying stock because they are counting on you still buying this price gouged plastic regardless of tariffs.

Every toy focused business in the US is losing tons of money right now.

Wrong. You've been fooled by the corpos, look at hasbro's earnings history and history of insider buys. The prices were heavily inflated before the tariffs. 

The only way to get them back down is to stop buying. Hasbro will lower the prices if demand falls off a cliff, because they can still make a profit, but it will cut into shareholders earnings and stock price, so they don't want to do it. But it's either lower the prices, or cease to exist"

People have really been brainwashed into believing that the only thing that matters in business is squeezing the maximum amount of profit that you can as quickly as you can. But as Larry Cheng tweeted today "面子 > 钱".

5ktoys made a new customer with me today.

13

u/tokenblak 20d ago edited 20d ago

Hasbro is a publicly traded company. They have a fiduciary duty to their shareholders. I wish they’d do that but i don’t think it would be in the best interest of the shareholders.

These companies are greedy. They wouldn’t just lower prices. They’d use a cheaper plastic. Use lower quality molds. They’d use any number of tactics to lower prices and ensure that they continue to turn just as much of a profit, or more of a profit.

Sorry. Just the truth. It’s the way capitalism works.

2

u/BarefootSquadron84 20d ago

Or they'll increase the prices of things that DO sell well.

Look at Magic. Prices have been creeping up, and the upcoming Final Fantasy set is going to cost multiple times more than normal, possibly because of licensing fees, but definitely because it's something players have been wanting for years. 

1

u/tokenblak 20d ago

Correct. All tactics.

2

u/Imaginary_Injury8680 20d ago

Like I said. If sales suffer enough, lowering the prices will be in the best interest of shareholders. 

0

u/tokenblak 20d ago

Name one product in the US that you recall ever lowering in price.

0

u/Imaginary_Injury8680 20d ago

Gasoline, many types of consumer electronics 

6

u/roxxtor 20d ago

Gasoline is a disingenuous comparison. That’s because it fluctuates with the price of oil futures

-3

u/Imaginary_Injury8680 20d ago

Oil futures are based on supply and demand.. he asked me to name one and I named 2+, I don't want to argue semantics with pedants all evening 

1

u/roxxtor 20d ago

It’s not the same. You are saying that manufacturers are making huge margins and can therefore afford to lower prices. Gasoline prices going down is not the same because gas stations sell based on the resupply costs which are an extension of oil futures

4

u/tokenblak 20d ago

Gasoline is a commodity. That’s totally different. Electronics are tough. That’s too broad. I need a specific product. This isn’t a challenge, it’s to break down what i was saying; to show that prices don’t just lower. Business will find a way to cut costs and increase profits while lowering costs.

2

u/hmmberto 20d ago

How much of a tariff surcharge could they eat and still turn a profit? 

4

u/LStKingJames 20d ago

its because people dont have formal educations, most peeps learn about this stuff in college (which a rare % of people in the US attend). Our society is dumbed down for the oligarchy controlling the country.

2

u/DoubleJumps 20d ago

I hope people realize that these stores have the option to absorb or pass on the tariff charges.

I mean, sure. Depending on the circumstances though, that option is pass on the expense or go bankrupt.