- Joined
- Jul 31, 2013
- Messages
- 147
You know, after hearing the latest news about more cuts to HQ, stores, and DC's.... an interesting idea came in to my mind.
What if Target is the next Enron?
The fact that they are suddenly pushing for more across the company cuts makes no sense. Did it make sense during the recession when the economy was imploding? Of course. But the economy is no longer imploding.... but Target is making cuts the same way they were during the worst of the recession.
Now the news is that there will be cuts company wide... not only to stores, but DC's and even HQ.
Before everyone says I am crazy, consider this..... Enron was a multi-billion dollar *energy company* (in other words, an industry in which you couldn't go out of business if you tried).... as far as anyone knew, the company was doing great... then literally overnight they were out of business. Why? Because when you are talking about a national corporation, only the company insiders *actually* know the financials of the company. Yea sure, you can get the numbers from wall street... but where does wall street gets those numbers? Directly from the company. The company was telling wall street and everyone else that they were making money hand over fist and were worth billions of dollars.
The only people who knew anything was up were a select few people in the company who noticed little red flags, but didn't put it all together until it was too late.
And before anyone says that Enron was an isolated case... need I remind of you of what caused the great recession? Multiple corporations who were *seemingly* doing fine who were actually in financial disaster and went bankrupt overnight because the true nature of their business was not known.
Some examples of companies that were seemingly doing great and actually weren't? Anyone remember....
Washington Mutual (miss them, loved having checking with them)
Lehman Brothers
WorldCom
<insert damn near every bank in the country here that was involved in the mortgage scandal... they would all be out of business had the government not bailed them out>
Now, I am not saying that Target is necessarily about to implode overnight.... but I am starting to suspect that things are bad... really, really, really bad.... more than the top people at HQ are letting people know.
I am not basing all of this on the most recent cuts either.... seriously, think about it.... look at the past few years and piece together all of the workbench messages relating to cuts, changes to payroll, changes to positions/titles, changes to inventory, etc..... put it all together and what does it lead you to believe? If this was all going on outside of Target at some random company you never heard of, what conclusion would you reach?
Is it to the point of Enron levels yet? Maybe, who knows. But I suspect if it isn't yet, it will be sooner than people expect.....
What if Target is the next Enron?
The fact that they are suddenly pushing for more across the company cuts makes no sense. Did it make sense during the recession when the economy was imploding? Of course. But the economy is no longer imploding.... but Target is making cuts the same way they were during the worst of the recession.
Now the news is that there will be cuts company wide... not only to stores, but DC's and even HQ.
Before everyone says I am crazy, consider this..... Enron was a multi-billion dollar *energy company* (in other words, an industry in which you couldn't go out of business if you tried).... as far as anyone knew, the company was doing great... then literally overnight they were out of business. Why? Because when you are talking about a national corporation, only the company insiders *actually* know the financials of the company. Yea sure, you can get the numbers from wall street... but where does wall street gets those numbers? Directly from the company. The company was telling wall street and everyone else that they were making money hand over fist and were worth billions of dollars.
The only people who knew anything was up were a select few people in the company who noticed little red flags, but didn't put it all together until it was too late.
And before anyone says that Enron was an isolated case... need I remind of you of what caused the great recession? Multiple corporations who were *seemingly* doing fine who were actually in financial disaster and went bankrupt overnight because the true nature of their business was not known.
Some examples of companies that were seemingly doing great and actually weren't? Anyone remember....
Washington Mutual (miss them, loved having checking with them)
Lehman Brothers
WorldCom
<insert damn near every bank in the country here that was involved in the mortgage scandal... they would all be out of business had the government not bailed them out>
Now, I am not saying that Target is necessarily about to implode overnight.... but I am starting to suspect that things are bad... really, really, really bad.... more than the top people at HQ are letting people know.
I am not basing all of this on the most recent cuts either.... seriously, think about it.... look at the past few years and piece together all of the workbench messages relating to cuts, changes to payroll, changes to positions/titles, changes to inventory, etc..... put it all together and what does it lead you to believe? If this was all going on outside of Target at some random company you never heard of, what conclusion would you reach?
Is it to the point of Enron levels yet? Maybe, who knows. But I suspect if it isn't yet, it will be sooner than people expect.....
