Management have had their chance to be prepaid in bonuses , high wages and benefits and simply IMO have failed to provide shareholders value . Any further payments should be done with reasonable performance and historically. They had their chance and well..... didn't achieve
Only thing that will change this story is hard numbers over several months showing a change in real sales volume not just stocking orders into new areas. There will be large costs for introducing into new markets and ongoing costs to maintain sales momentum ( if they ever get any or do any serious promotion) . The bottom line is that unless there is demand driven or complimented by social media and effective placement and advertising their cost will exceed their sales growth.
Buying , averaging down and trying to pick the bottom???. My opinion is that there has to be news flow and consistency in reporting as no one will believe the story so there should be time to enter after they prove they have a strategy that is executable . They sure have a lot of data on how not to do it so apart from the huge overhang in fixed costs it is a game of sales volume and margin. Increasing margin point by point might get them a wage bonus but on low volume sales all it does is means shareholders are only sponsoring every yowie sold by a marginally lesser amount.
Management of YOW have IMO failed to leverage off their natural advantages of being a known novelty, enviro educational angle etc etc. They continue not to do so. Every part of their business has been delayed and every monthly promotional opportunity be it enviro day , earth day , save the forests, Christmas, easter etc etc , Halloween etc has been wasted to the point they are just another expensive chocolate on a shelf with a gimmick. Unless management get many of those things right all of a sudden and turn it round quickly more opportunity, time and cash at bank will be lost - they have had plenty of time to bed this down and leverage off the opportunities so next announcements must show positive outcomes that immediately create demand be it from release of books , short cartoons etc etc. They have the hooks and have delayed throwing them in the water either stuffing up or awaiting perfection changing directions. I'd rather see failed reasonable marketing efforts than having not tried at all.
Anyone seeing pre release media in Canada or seeing reports of social media excitement?
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