The Pardu

The Pardu
Watchful eyes and ears feed the brain, thus nourishing the brain cells.

Wednesday, February 8, 2017

Trump Uses Our Tax Dollars To Lobby Against Nordstroms

Image result for trump targets nordstroms

We are at mid-week and the Trump machine is working diligently to fire-up his daughter's shoe line sales.  The issue must be one of the more pressing issues across the globe: a Trump losing money

Huffington Post and multiple other media are reporting on how the 45th President of the United States spent part of his morning.

My daughter Ivanka has been treated so unfairly by @NordstromShe is a great person -- always pushing me to do the right thing! Terrible!
9:51 AM - 8 Feb 2017
President Donald Trump launched a social media attack from the White House Wednesday against Nordstrom, after the retail chain decided this month not to carry his daughter Ivanka Trump’s fashion line
“My daughter Ivanka has been treated so unfairly by @Nordstrom,” Trump complained on Twitter Wednesday morning. “She is a great person — always pushing me to do the right thing! Terrible!” (Read more linked above "HUFFPO")
Let's consider a couple of points. First, Trump would certainly "fire" any employee, business unit or corporate division which failed to meet financial goals. "You're Fired!" Next, is there actually a case to be made related to Nordstrom's financial fiduciary responsibilities to its shareholders' (owners).

While I don't have access to Nordstrom's market and consumer data, I think it safe to assume the retailers' market niche is highly populated with upwardly mobile millennials on the high-end of the middle-income strata. Nordstrom's customer base may significantly differ from the customer base of Macy's, Sak's Fifth Avenue, Neiman Marcus, Lord and Taylor's, even Dillards. 
An Ivanka Trump-branded blouse is seen for sale at off-price retailer Winners in Toronto last week.
New York Daily News Reports Canadian retailer "Winners" price drop.
Take a look at a chart from a Fortune Magazine piece. 

First a quick digression. Why would potential consumers drop-off in purchasing Ivanka's retail lines? nORDSTROMSIs it possible rational non-conservative women who are less likely to be supporters take exception to Trump's over-the-top lack of regard for women? The question is rhetorical.

Let's take a look at how that previously mentioned group of survey respondents responded to questions about ;her clothing line.

Image result for Ivanka shoe sales reveue
Fortune published an additional piece this afternoon which includes a list of retailers who have dropped his daughter;s brand (lines).  As I read the piece, I couldn't help but wonder why Trump is targeting Nordstrom's. Hell, Neiman also dropped Ivanka's lines! 

While we have no solid reason for his daughter's failing brand, we have to accept consumers have choices. Choices which include how and where we spend our (unlike the Trumps) hard earned money. If any reason women refrain from spending their money on a brand with the Trump 
name (Ivanka) highly affixed, how should a retailer respond? The retailer has a responsibility to leverage its shelf space and properly manage its inventory. Where does that leave us with Trump's business of the day activity?

It leaves us with .......

Your weekly dose of "alternative facts." How about the White House version of Nordstroms drops Ivanka's shoe line because "they don't like Trump?" 
Would you believe this guy is paid for this stuff? Now, what happens when Nordstroms opens up a batch of whoop-ass based on data related to the retailer's decision to drop the line? (See example above). Moreover, the reason for the lack of sales may have been influenced by Trump's affect and aura, but we can rest assured Nordstroms, based their decision on data, not politics or social regression from the GOP. Forethought is a powerful trait; the Neo-GOP party leader is making a huge mistake. 

Nordstrom's responded to a twitter user as follows.

Image result for Ivanka shoe sales revenue

The perfect corporate response. If people aren't buying Ivanka? "You're Fired!"

Now, about that president who spends White House time vilifying a retailer.

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