I was driving down the road the other night, listening to the Phil Valentine show on the radio. He mentioned a news item that I found rather intriguing. So I gave it some thought.
It seems that some people in NASCAR are worried about an Obama presidency. I checked around and could not find any source for this, but it did get my mind going on the topic. Taken logically, it does make sense that they would be worried.
Obama has said that his economic policy would be to tax the wealthy (top 5%, according to his statements about tax cuts for 95%) and close loopholes. Since that would be a tax increase on corporations, they would have to look for ways to cut spending in order to keep their bottom line healthy and provide dividends to shareholders. In order to do this, corporations would have a few options.
They could cut jobs. This could be seen as cold and heartless, but when has corporate America been seen as anything but? This would not really "hurt" their image, but it may not be the smartest move from a purely business standpoint. So, it would probably be a last ditch effort.
They could cut corners and save some money, though this would only be a smart move if you were, say, a company in China. So, not a real good chance of this happening. I mean, can you imagine a steering wheel coming off a car as it traveled down the road if the manufacturer only used two screws instead of four? Yeah, probably not going to happen.
They can cut salaries of the senior . . . .yeah, like that is going to happen.
They can also do away with any expenses unnecessary to the immediate concern of the business. Like sponsoring Little Billy' softball team, or holding a company picnic, or giving to charities (remember the loopholes thing?). Or they could cut sponsorship of a NASCAR car. I mean, just how much is being gained by Home Depot or Sprint from sponsoring NASCAR?
Okay, so corporate sponsorship goes away for NASCAR. What is the big deal, you ask? Well, without sponsorship, there is no money to spend on the very necessities of rading; engine parts, tires, gas, et al. If this happens, racing goes away.
It seems that some people in NASCAR are worried about an Obama presidency. I checked around and could not find any source for this, but it did get my mind going on the topic. Taken logically, it does make sense that they would be worried.
Obama has said that his economic policy would be to tax the wealthy (top 5%, according to his statements about tax cuts for 95%) and close loopholes. Since that would be a tax increase on corporations, they would have to look for ways to cut spending in order to keep their bottom line healthy and provide dividends to shareholders. In order to do this, corporations would have a few options.
They could cut jobs. This could be seen as cold and heartless, but when has corporate America been seen as anything but? This would not really "hurt" their image, but it may not be the smartest move from a purely business standpoint. So, it would probably be a last ditch effort.
They could cut corners and save some money, though this would only be a smart move if you were, say, a company in China. So, not a real good chance of this happening. I mean, can you imagine a steering wheel coming off a car as it traveled down the road if the manufacturer only used two screws instead of four? Yeah, probably not going to happen.
They can cut salaries of the senior . . . .yeah, like that is going to happen.
They can also do away with any expenses unnecessary to the immediate concern of the business. Like sponsoring Little Billy' softball team, or holding a company picnic, or giving to charities (remember the loopholes thing?). Or they could cut sponsorship of a NASCAR car. I mean, just how much is being gained by Home Depot or Sprint from sponsoring NASCAR?
Okay, so corporate sponsorship goes away for NASCAR. What is the big deal, you ask? Well, without sponsorship, there is no money to spend on the very necessities of rading; engine parts, tires, gas, et al. If this happens, racing goes away.
- This is just too funny - www.clearspring.com/widgets/4824f65f50c7cc4b?p=48ffb4c80846d0ea
|
|