layoffs?

[The Little Raven]

The fact that banks got the money and not the people is the BS, because people laid off could be using the money, while the banks won't lend to people that have recently been laid off as they have no collateral the bank can steal claim should the loan not be repaid.

Indeed, but that is heading into politics, which we should be avoiding.

 

[justanobody]

Indeed, but that is heading into politics, which we should be avoiding.

noted.

 

[occam]

CEO of the Year.

From the article:

As his Hollywood chutzpah shows, Goldner's aim is high: to turn Hasbro's top nameplates into global power brands that consumers can experience in any way and format at any time they want, including movies, video games and even a theme-park attraction.
...Goldner also added new positions and named Los Angeles-based executives to nurture and explore Hollywood relationships and opportunities.
...transforming it beyond a toymaker to an intellectual-property-owning powerhouse.

I've said this before: If Hasbro is looking for marketable intellectual property, they already have a veritable IP factory they're not taking full advantage of. Between MtG, Forgotten Realms, Eberron, Greyhawk, Dark Sun, even going back to Star Frontiers, maybe Gamma World, and much more, TSR/WotC has a nearly limitless supply of creative products ready to be exploited. Some of them are already the basis of very popular book lines. Done right, with proper respect for the source material, you could have a Marvel-sized goldmine of movie properties, too. (Probably best to leave the D&D name off the title, though; that's probably toxic after the first two efforts. )

And theme parks? How cool could a D&D theme park be? Just watch out for that roller coaster, you don't know where you might end up....

 

[Mistwell]

I don't know. I think a lot of businesses are using the "economic crisis" as an excuse to cut the fat.

Do you have anything to back that up other than your instincts? And if it is just your instincts, then what's your financial background that makes you feel your instincts are good on this topic?

I don't really think WotC have been, nor will they be, that adversely affected by a crisis that is primarily a concern to the financial industry, the luxury industry, housing and auto industries.

I just linked to the article showing that sales are down across the board for all retail stores. Seriously, you are in denial if you still think this is just an isolated financial crises. I can see thinking that a couple of months ago...but now? You'd have to be doing a really good job of ignoring all the new financial information coming out.

Role-playing has weathered 3 decades by appealing to a core demographic (young males) who, as a group, have never had much significant buying power. A lot of us have never even managed to hold down a steady job, nor do we particularly care if we lose the ones we have.

It hasn't been "young" males for a decade or so. It's mostly 30-somethings now buying things like supplements, not college students or younger. And that group that usually does the buying is the prime group getting hit hardest by the recession right now.

Anyway, the economic crisis is a bunch of b.s. It'll pass just as soon as the banks get their money. (I mean, honestly, do you really think the bank was just being stupid when they gave that $400,000 mortgage to the single mother of two based on her salary as a cashier at Walmart. They knew EXACTLY what they were doing!)

Wow. That is...not in line with reality I am seeing. In any way. It's not just banks. It was never just banks in fact (AIG is not a bank for example), and there is no question any more that this has spread to virtually every sector of the economy. Every single measure of economic health shows that. The entire body of evidence does not support your conclusion. If you have some article showing differently, I would love to see it.

 

[Mistwell]

The fact that banks got the money and not the people is the BS, because people laid off could be using the money, while the banks won't lend to people that have recently been laid off as they have no collateral the bank can steal claim should the loan not be repaid.

Banks did not "get" money. They got a loan.

 

[joethelawyer]

It hasn't been "young" males for a decade or so. It's mostly 30-somethings now buying things like supplements, not college students or younger. And that group that usually does the buying is the prime group getting hit hardest by the recession right now.

do you have stats for that demographic breakdown?

 

[xechnao]

(emphasis mine)

Yes, yes I do. If you are implying they purposely gave out lending they knew was a bad idea, solely to get bail out money, all I have to say is wow. Just, wow. Because thats my interpretation of your post, This crisis is the worst the US has seen since the 1930s, and you are calling it B.S? Ok then! Im sorry if I have misunderstood you.

Either they gave out lending on purpose or they too stupid. Not only this but there are gobal institution that examine and name the status of companies (better not go to specifics) -they obviously lied. This happened for various reasons (we can say they are not as simplistic as some banks to get bailout money but it smells system corruption all over the place)
On a different note I also find it hard to believe the european banks did not figure this out and had so much faith in the system (oh these europeans (I am a european too btw).

 

[der_kluge]

Last month, U.S. employers cut 533K jobs, the most in 34 years. The last time this many people were laid off in a single month, it was the Ford administration I believe. The U.S. is also in the worst financial crisis since the 1930s.

Given those facts, I think too many people are naively assuming these layoffs are not the result of the general economy. You can make up excuses out of anger like "poorly run" and "greedy" and "didn't prepare" and "does this every year". But realistically, the U.S. is in a serious economic crises that was unexpected (it started on a specific date - when Lehman Brothers went under). Economic recessions have a direct, fast impact on hobby industries as people cut back on their purchases (and people have cut way back on their purchases in general, and that is provable).

The primary cause of these layoffs, or at least the extent of these layoffs, is probably due to circumstances entirely beyond the control of WOTC, and that is the sudden financial crises and recession. And when that happens, companies have to lay people off or else fall into the red. Which is exactly what thousands of companies did last month, to an extent unseen in 34 years. It's not a coincidence that all those companies did the same thing as WOTC. They are reacting to a real, tangible economic crises.

That's all well and good, but the key fact that's missing here is how is WoTC's profitability? It's entirely possible that WoTC is making *more* money now - could it be possible that people, once they get laid off, decide to devote more time to gaming since they suddenly have free time? We simply do not know. I think you're giving WoTC far more credit than they deserve.

 

[Mistwell]

do you have stats for that demographic breakdown?

They come from some of the stuff the 3e guys were talking about with their survey. Much like the comic book industry, the Tabletop RPG industry has aged along with it's original audience. I believe you can find it here. And since they state that the players of the hobby are aging with it, and not being refreshed with younger players at the same rate as they used to, you can safely age that study even more now.

 

[Mistwell]

That's all well and good, but the key fact that's missing here is how is WoTC's profitability?

All leaked information we have seen is that it is bad. Not nearly as good as planned.

It's entirely possible that WoTC is making *more* money now - could it be possible that people, once they get laid off, decide to devote more time to gaming since they suddenly have free time? We simply do not know. I think you're giving WoTC far more credit than they deserve.

No I do not think it is likely that people who are laid off spend more of their dwindling savings on hobby products. History does not support that conclusion. None of the stats support that conclusion for similar industries. Pick an entertainment-type company of any sort, look at their published numbers since Layman brothers went under, and you will find they are all down.

I am not saying it's some genius well laid scheme to lay people off...I am saying it's an entirely normal reaction being done by virtually every major company right now in the U.S.. What "credit" do you think I am giving them?