Imagine for a moment, if you will, all the ills that afflict our society: a devastating situation global pandemic; generalized and accelerating ecological collapse; the imminent threat of a Swedish mafia from the house reunion tour.
Now listen to this: we’ll literally never run out of Crocs. Does it do anything for you? No?
During call with analysts To discuss another quarter of astronomical sales figures on Thursday, Crocs CEO Andrew Rees said the ugly clog company owes most of its recent success to Crocs being largely impervious to chain issues. global supply chain that plagued the tech industry and other businesses during the Covid-19 pandemic.
In July of this year, rising infection rates, which was the deadliest wave of the virus to have Vietnam had met so far, has sparked widespread manufacturing shutdowns in two of the country’s largest cities, Hanoi and Ho Chi Minh City.
The new wave of containment protocols triggered by the country’s leadership resulted in a record quarterly decline in gross domestic product that was so high that panicked companies were forced to choose between creating dystopian Covid-19 ‘bubbles’ for domestic workers and foster children on site and bear the cost of lost profits. But folks, that’s not the story here – the story is that Crocs, one of the many companies that outsource much of its manufacturing to Vietnam, features a simple and elegant three-part design, which made it easier for manufacturing to move quickly to places like China, Bosnia and Herzegovina, and Indonesia to ensure that production rates and the company’s bottom line remain stable.
âOne thing we learned COVID, I think it’s really important for people to understand: our shoes are really simple, and so the factories ramp up could be very, very fast, âRees told analysts on Thursday, according to Initiated. “You don’t have a lot of external logistics to get started.”
Factory closures in Vietnam have delayed production for many companies that have been outsourcing production lately, including Nike and Lululemon. But not Crocs, baby. On the call with analysts, Rees said sales rose 73% to $ 626 million in the last quarter, from $ 362 million in the same period last year.
Mankind may be doomed, but the hoof is still king. Long live the free market capitalism. Long live the Crocs.