Dick’s Sporting Goods Sales Tumble – Gun Policy Partly to Blame

Dick’s Sporting Goods Sales Tumble – Gun Policy Partly to Blame

Sporting goods retailer, Dick’s, announced weak results in the company’s second fiscal quarter, a decline in sales of 4 percent compared to the same period a year ago – and their gun policy is partly to blame. Over the course of the entire year, the chain expects a drop in sales of between 3 and 4 percent, compared to just a 0.3 percent drop the previous year. So what is going wrong for Dick’s ? Two things were cited by CEO Edward Stack in a press release. One, a lower demand for Under Armour products due to their availability at other mid-level department stores played a role as retailers experience lower prices through sales and the use of coupons. But two, sales also dropped due to Dick’s recent change to its gun sales policy . Dick’s Sporting Goods shares tumble on slumping sales after phasing out electronics and rifles https://t.co/0CoacfCKQM pic.twitter.com/6yC6G4J3Qb — Bloomberg (@business) August 30, 2018 Reuters reported that the company experienced “a bigger-than-expected drop in quarterly same-store sales on Wednesday and forecast further declines this year, hit by tighter gun controls and a drop in Under Armour sales.” Dick’s went public in announcing that they’d stop selling “assault-style rifles” in their stores shortly after the Stoneman Douglas Valentine’s Day massacre – an unwise emotional reaction to a tragic event. They also announced that they’d be raising the minimum age to purchase a firearm from one of their stores to 21, and would stop selling high capacity magazines. […]

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