Sunday, February 5, 2012

My gut says this is important.... but why?


Saturday I stopped in at the local tire store to purchase new skins for the truck. This is a place I have dealt with for years, and the grouchy old fart who runs the place always ends up talking business with me. He knows what I do, and my background, so we have a common ground to speak on.

This Saturday, a new wrinkle entered the conversation. Amongst the 'Business could be a lot better' and 'No one has any money' and 'The help are idiots' stories.... something new.

Let me preface this next by explaining; This is a 'Tires-Only' retail outlet. They don't do anything else. Just sell, install, and repair tires.

He told me his biggest problem now is getting product.

A few questions on my part, and the details came out. Boil it down, and it comes to this: His company is only able to get about 60% of the tires they need to stock and sell. Six out of ten. He's had standard truck tire sizes backordered for three months now.

His company has nine locations, each able to move a truckload of units each week.

They can't get them.

Something in my gut is telling me this is important. I just can't figure out why yet.

Thoughts?

(Peter shares his at Bayou Renaissance Man)


7 comments:

Peter said...

You're right, it is important: but the answer is too long to put in a comment. I'll do a blog article about it. Check my blog later this morning.

Carteach0 said...

Thank you Peter.

As I listened to the man, I had the distinct impression I was living through a scene from Atlas Shrugged.

ZerCool said...

... this sounds like I should make new sneakers on my truck a priority sooner rather than later.

Peter said...

My response is up at:

http://bayourenaissanceman.blogspot.com/2012/02/yes-this-is-important.html

Hope it helps!

Peter

Carteach0 said...

Thank you Peter!

Crucis said...

I haven't been to Peter's site yet (he's further down my blog-list.) From what I've been able to find doing just a quick search isn't a lack of demand, nor of raw materials, but rather a shortage of production. Prior to 2010, there was sufficient supply to meet our domestic and overseas needs.

However, due to the economy, the producers didn't/couldn't expand and the market increased. Many who would have replaced tires in 2010 and 2011, delayed their purchase. Now, those need have become acute but the amount of production isn't able to meet the demand.

There's a dichotomy there. A demand, but no returned increase in production. Could it be that the uncertainty of the market and other governmental regulations have prevented or delayed expansion of production? Could be.

Anonymous said...

Cooper tires is dealing with a strike. They make off brand tires as well as the brand name Cooper. As you can imagine productivity has taken a nose dive. They make lots and lots of tires. Their absence has left a large hole.

http://www.wsws.org/articles/2011/dec2011/coop-d31.shtml