On a Q2 earnings call, management sounded exasperated on how to fix underwhelming Google lead volume tested every fix they had. They have done a bunch of experimentation, but nothing moved the needle.
Starbucks has seen a fair amount of turnover in their CEO seat in recent years. Today I dive into their different approaches. One reached for discounts. One reached for labor hours.
I love a lot about Booking's business and performance, except who controls the customer.
Every new store opens with the inventory already paid for by vendors. That's the beauty of a business model with negative working capital.
Similar to Otis, KONE sells the initial install near break-even, then harvests a maintenance and service annuity. This service business is now 65% of a $12.8B revenue business.
2.5 million elevators, 34,000 technicians, and a powerful maintenance annuity.
HEICO found the one product category where it's huge competitors won't price match. It's worked for 30 years.
Transdigm has used its sole-source supplier status to to push pricing of many niche aircraft parts. Will defense innovation derail their highly levered business?
Everyone piled into premium drinkware. YETI still refuses to discount, and it appears to be working. So far...
Wood-fired grills, $406M of net debt, and a bet called Project Gravity.
Weber (grills) is a prime example of a brand being only so strong of a moat. Post-COVID revenue slowdown, inflation, and increasing competition led to them going private at a lower than IPO valuation.
Inside Gentex (GNTX), the near-monopoly many people look at every day.
