The Twinkie Takedown

Denny’s, Papa John’s, Hostess Twinkie…These companies highlight concerns about government regulation, intervention, and growing fears about the impact of healthcare costs. As Hostess employees look for new jobs, let’s start a conversation about what this mean to YOU?

Let’s start with healthcare…

You know, I just get dazed and confused when I listen to politicians and pundits discuss healthcare and the effect on business people. I’m on a mission to ask smart business owners what their questions and possible solutions are to healthcare and other business regulations. Jim Criniti, president of Zoom Drain and Sewer, would like to see a cost v. benefits analysis of the options. So would I. Al Levi of Appleseed Business shares his ideas for restructuring healthcare. Smart!

Who eats Twinkies anyway?

It’s not just healthcare costs. It’s not just tax rates. There are lots of variables that add up to business success. Perhaps Twinkies are just no longer relevant. When was the last time you ate one? (Sure, there was a run on Twinkies after the layoffs. Collector’s item Twinkies don’t count.) There were many challenges that caused the Hostess workers to strike. There is a lot of responsibility to be claimed for the lost jobs. Don’t believe that there is a single regulation – or even an administration – that caused the company’s demise.

Somebody is going to be successful in business today. It might as well be you.

Thoughts about this blog? About healthcare or other business regulations? Video your response and send it to me at contact@barebonesbiz.com

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Ellen Rohr, The Plumber's Wife Turned Business Makeover Expert teaches business basics. Ellen specializes in helping business owners put simple business plans together. She teaches them how to make more money and how to stay focused and profitable. Ellen makes ordinarily dry-as-dust business planning powerful, easy and fun. You can find Ellen on Facebook, Google+, or visit the contact us page.

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About Ellen Rohr

Ellen Rohr, The Plumber's Wife Turned Business Makeover Expert teaches business basics. Ellen specializes in helping business owners put simple business plans together. She teaches them how to make more money and how to stay focused and profitable. Ellen makes ordinarily dry-as-dust business planning powerful, easy and fun. You can find Ellen on Facebook, Google+, or visit the contact us page.
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6 Responses to The Twinkie Takedown

  1. Bill Ball says:

    So it wasn’t just about a union that wouldn’t budge versus a company that needed concessions from the union? By the way, why do workers making Twinkies need a union anyway? It seems like the free market era is gone. Companies are held hostage by unions, the government and now, Obamacare. Next, we’ll be subject to the 15 member panel of bureaucrats who decide whether or not you get a liver transplant or are left to die in hospice care, if O-care even covers that. Might be a problem finding a doctor as they are tending to revolt over the payment schedules.

  2. Larry Collins says:

    International Harvester used to make backhoes; they were made separately from trucks and farm equipment. Somewhere between 1968 and 1973, Harvester faced the same situation as Hostess; rather than cave in to union demands, they quite making backhoes, and laid off thousands of workers. As Ellen pointed out regarding Hostess, there was probably more to the story than union demands regarding the survival of Harvester. However, unions have a history of corruption and violence, and I think their wage and benefit demands have cost some of our industries the ability to compete with foreign manufacturers. Unions were beneficial and necessary in correcting the sweatshop working conditions prevalent back in the beginnings of the industrial revolution, but I question their relevancy today. How many jobs have been outsourced to foreign countries because of unrealistic union demands? The relevancy of Hostess snack foods notwithstanding, wouldn’t the workers at Hostess have been better off foregoing the lastest pay and benefit increases to keep their jobs? It would be interesting to know what their pre-strike pay and benefits were, and what their specific demands were.

  3. Ellen says:

    Thanks, fellows, for the thoughtful comments. There are solutions to complex problems. Love your participation in the dialogue. Xo$

  4. Jim Hamilton says:

    It is what it is. Don’t focus on whAt you can’t control. As a business owner, you run into roadblocks all the time. It’s your job to figure out how to get over the roadblocks or push them out of you way. Evolve or die, (to quote my good friend Charlie Greer) And to state what my business mentor, and good friend Frank Blau, If the playing field is the same for everyone, such as rising health care cost. Make sure you have accounted for these cost in your selling price. nothing’s really changed, it’s business. Business changes all the time. Why do I say this? Think back 20 years ago… Could our customer look up the price of the parts you are installing? Do you see now why you need to move your business with the changes? If you don’t see this happening to you, then get out now, cause you will lose. Happy thanksgiving Ellen, loved seeing you in Vegas!

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