Saturday, 17 November 2012

HappyCabbie And Papa John's Economy

As per usual for this blog my correction and opinions will be in red and italic, where as the original will be in the default font.

The original text can be found here

Papa John's and Obamacare 

Today is the Support Papa John's Pizza Day. 
Well, actually it is called "Papa John's Appreciation Day".
The owner of Papa John's Pizza, John Schnatter, has been an outspoken critic of Obamacare because of the impact it would have on his business. 
Which is slim to none. 
 The chief of his complaint is that to comply with the law to provide health insurance for his current full time employees (over 30 hours) would cost him $5 to $8 million.
There is no such expression as "chief of his complaint". And $5 - $8 millions dollars annually is still a drop in the bucket. It is only twice/thrice the amount of compensation John gets for himself:

Or in practical terms it would force him to raise costs by 11-14 cents per pizza. 
An astronomical amount, I must confess.
His solution is to cut back hours on corporate owned stores. 
The only solution there is.
Some of them are owned by franchises, who of course will make up their own minds. Cenk Uygar <sic> takes him to task however, I think toward the end of his rant about the wealth that John Schnatter has - was way out of line. So I wish to respond to that.
Well, you voted for Romney, so one shouldn't be surprised.

First it should be noted that the Forbes article Cenk is quoting from can be found HERE

He also brings up the fact that John Schnatter is giving away 2 million free pizza's (pizzas), this year at an estimated cost of $24 to $32 million.
And then we can calculate using that 14 cents figure you gave earlier, that Papa John's is selling roughly 57 million pizzas a year.
Which is just blatantly un-fucking-true. The amount is closer to 2 billion. Source
Or said more bluntly, which seems more likely; that every American buys 1/6 of a Papa John's Pizza a year, or that every American buys 6 Papa John's pizzas a year?

Well it should be noted this is no different than standing in front of a store front (storefront) giving away free samples.
Well, I actually agree with Happy here.
he idea is not to give away free food (Your guess is as good as mine), rather it is to get new customers. It is simply part of the advertising budget. So I myself am going to discount that.

Even though Forbes did an analysis of the numbers and projected a much lower expected price increase of 3 to 4 cents per pizza, I am going to use John Schnatter's numbers.
Yeah, because why use an independent analysis? And just for the record, I did the calculation, and I got the same results as Forbes. 
And no, it is not 3 to 4 per pizza, Happy. It is 0.3cents per pizza. 
Let's break it down real simple here. 
We know that the total amount to pay is $8,000,000 we then divide by a million, so it becomes $8.
Now we know the amount of total pizzas sold is about 2,000,000,000, we then divide by a million, so it becomes 2000.
We then divide 8 by 2000, and voila. $0.004

After all he owns the company, it is theoretically possible he knows something that Forbes doesn't.
No, he is just a liar. 
Still a 11-14 cent increase on the price of pizza is NOT a deal breaker. 
It is not. Especially when that amount is way higher than the actual amount. 
Especially when you consider Dominoes (Domino's) and Pizza Hutt (Jabba The Hutt?) (the two of Papa John's main competitors) have to incur the same cost.

Skipping some boring stuff here

A few months ago, conservatives rallied around Chick-Fil-A for their outspoken support of groups that oppose gay marriage.
As well as their financial support.
While I disagreed with those who supported this, at least I could understand it.
A business owner has the right to spend the money as he or she sees fit. 
Not exactly, no. There are limitations on what he can spend the money on.
Those who view those decisions as immoral also have the right to protest and boycott.  

Now we have a group of people rallying around a business for their decision to cut employee pay. It is very difficult to live on a part time salary. In many cases these people will be forced to get second jobs. Those with families will have to sacrifice family time for sleep as jobs may not line up back to back. Despite your views on Obamacare, it puzzles me how any one can cheer for John Schnatter's decision to line his pocketbook instead of maintaining his current level of full time employees who depend on those hours for their living.
And you are the guy who wanted to vote for Romney?

Cenk Uygar (Uygur)  then goes off the deep end, chastising John Schnatter for living in such a huge house and having so much money as his employee's suffer.
Where is the problem in this exactly? Should he be allowed to exploit the workers?

It is not a crime to be rich and successful.
But it should be a crime not to cover healthcare on your employees.
John Schnatter started out delivering pizza's and worked his way up. Papa John's Pizza pays a comparable wage. You will never get rich working in a pizza joint for someone else. You are not supposed to. 
Nobody ever talked about getting rich. This is a complete fabrication. 

It is entry level work. If you work hard you can make more money as a manager or even save up to buy a franchise. You can also simply do what John Schnatter did, sell your car, and build a business. If you succeed then you can afford a nice house.
Or you can just borrow the money from your parents, isn't that right Romney?
I was right up with Cenk until he attacked John Schnatter's wealth. This is one problem I see far too often. The demands to tax the rich, the rich need to pay their fare (sic) share. 
Well, if they pay less tax than the rest, then shouldn't that be straightened out?
There is an anti-rich mentality in our country right now and I think it is harmful to our society. 
Citation fucking needed. 

That being said, I don't think 11-14 cents extra is too much to pay for a pizza. Prices go up all the time as the price of gas continues to climb and other things we use everyday.   
You are aware of the reason why gas-prices are going up, right?

This entire blogpost by Cabbie seems like it was co-written by Brett Keane. He clearly shows that he has done no research, what so fucking ever. He furthermore shows that he has clearly no understanding of the economy, as he parrots the 14 cents amount given by Schnatter. 
As shown, even the smallest amount of math, can verify that just doesn't make any goddamn sense.  

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