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Devilbird
  Professional Champion  
  ID: 8365065  
Posted: July 28, 2010 • Views: 1,713 • Replies: 69 • Go to Last Reply
I heard something this morning that really gets my blood boiling. I know many of you are Callaway enthusiasts but I am asking everyone to boycott them from this day on. I know this is a huge request so let me voice my reasoning before you run and tell me to shove it where the sun doesnt shine.

Listening to the news this morning from San Diego, CA it was reported that Callaway is going to join the hundreds of other businesses in the US that are moving to other countries to better their bottom line. In a time when this country needs to stick together and support one another, Callaway is choosing to pick up and move their entire operation to Mexico in order to save money and increase profit. The move will hit Carlsbad, CA very hard as more than 1200 workers will be added to the unemployment ranks. I am sick and tired of companies doing this and have decided to campaign against this action. Many of you will read this and think I am overreacting, but I am tired of America not taking care of itself and its own. I am not an employee of Callaway, I am teacher, but this sickens me and I want to try and do something about it. Lets step up together as a golfing community and show Callaway that this move will cause them to lose even more money.

My hope is that this will reach someone with some kind of influence who can remind Callaway executives that Americans stick behind one another in tough times, we don't run away from troubles, we embrace them together. Callaway will survive this tough economic time, but what can we say about the 1200 employees they are going to send packing. PLEASE JOIN ME IN THIS AND IF YOU FEEL INCLINED, WRITE A LETTER TO CALLAWAY AND LET THEM KNOW HOW YOU FEEL.
 
cogolfer1
  Legend  
# 1 on 7/28/2010 10:42:31 AM
The only "Callaway" product I have is my Odyssey putter which I really like a lot. Other than that I have no Callaway when I'm golfing. The brands that I'm associated with are Nike, RAM, Goldwin, and Tommy Armour. Callaway's move is classless at a time like this, but there's no chance people are gonna entirely boycott Callaway. They're one of the best golf brands in the world and one of the most popular. And when players like Phil Mickelson endorse Callaway it's going to be an even harder thing to do.
72Wannabe
  Legend  
# 2 on 7/28/2010 11:09:09 AM
I completely understand your position and don't blame you. I, on the other hand, don't blame Callaway. I blame our government. If corporate taxes were eliminated (who pays them anyway? - the customer!) and the red tape that our government puts on business through employment laws, environmental laws, tax policy etc....it is the government that is killing American businesses.

I'm not balming the current president - although Republicans generally talk about lowering taxes more than Democrats - the government is essentially the same fro president to president - the government is out of control.

Sorry - don't want to highjack your thread but I think they are related topics.
Brian  Sandberg
  Amateur  
# 3 on 7/28/2010 11:15:13 AM
I would be glad too. The question I pose for the forum is: what manufacturer still designs and makes their clubs in the US? I believe the Macgregor 1025 CM that I use were designed and made at a foundry in Texas that has been closed. I know Ping makes their irons in AZ, but what about their woods? I prefer forged clubs so that eliminates Ping from my possible choice unless they bring their forged irons sold in Japan here. But I am sure they are forged in Japan also. How about this, I work in manufacturing, I am sure I could open up/reopen a facility that could make clubs right here in the USA. All I need is someone with really deep pockets that does not mind loosing money hand over fist. :) Any Takers?
lrmonroe
  Professional Champion  
# 4 on 7/28/2010 11:15:18 AM
That truely stinks, cause" I play Callaway", well 4 clubs Driver, 3-wood, 3 hybrid, and Lob wedge and hx hotbites or pearls. from the business aspect: lowering the bottom line and overhead could actually decrease the price of the products which encourages buyers to buy the product and would increase Callaway's profit. But move to Mexico...Why? Don't they realize that all the hard working Mexicans live in the US...legal and illegal... except for Arizona.
ByeByeBirdie
  Professional Champion  
# 5 on 7/28/2010 12:17:44 PM
There are numerous things wrong with the way American companies are run these days. Jobs are cut and operations are moved overseas at a lot of companies while CEO pay skyrockets. Harley Davidson cut a bunch of jobs and had a profitable quarter. They are planning to cut over 1,000 more jobs to maintain a high profit level. They could keep these 1,000 workers and keep them employed in this bad economy and still be profitable.

At golf companies such as Callaway, Cleveland, Cobra, Nike, and TaylorMade, they put strict price controls on their products. If retailers try discounting the products, the golf companies will threaten pull their products from the offending retailer. It almost seems like mafia tactics. The bottom line is that the consumer pays more.

Boycotting Callaway seems like a noble cause, but I'm not sure any other golf company treats or cares about its workers any better.


P.S. Full Disclosure: I play TaylorMade clubs.
dewsweeper
  Professional Champion  
# 6 on 7/28/2010 12:34:11 PM
It's very difficult to pass judgment to others action if you don't have the whole picture.

I could, understand and I do support your point of view of rally around our countryman. You do need to understand the business world is a cut throat shark feeding frenzy world.

Businesses are aware of their responsibilities beyond their fiduciary duty to their stock holders; like minimize impact on the environment, support local economy....... However, if they don't take care of themselves first, the house of cards will tumble down in seconds.

You'll need to ask the governing body of California, if they had created a competitive environment for a business to sustain and grow ? Or if the State is squeezing every penny they could out of the businesses for the pleasure of doing business in the State!

Survival is the first and foremost in today's economic climate. Golf industry had suffered in the last couple of years not just from the general economic climate but also from fierce competition among the new comers and old rivals.

You could chose whatever you see fit in your life but don't give advise to others if you have no clue of what the whole picture looks like.

Would you like to see another company go down the drain or bought out by foreign investors ?


Devilbird
  Professional Champion  
# 7 on 7/28/2010 1:02:14 PM
I understand that the business word is cut throat, but I also believe that it is a travesty that American companies go against their employees and do things like this. Im not giving advice I am asking that Americans stand up and let their voices be heard. I live and grew up in the community that Callaway thrives in. My grandfather installed their first computer system in the the guys garage where they started selling their clubs in Carlsbad. They have thrived in that community for over 15 years and have brought the golfing community to this area. Since Callaway moved in and set up shop every major golf company has moved into the area and has done well for themselves. It is in times like these when things are hard for everyone that companies need to stay loyal and stand by the communities they have built and supported. This country will bounce back and when it does those companies that stayed loyal will benefit in numerous ways. All Im asking is that we send a message to all companies that do this and let them know its not ok. I am only focusing on golf companies here because this is a golfing community site.

As for 72wannabe: I agree that the current administration is another topic for another day. All I will say is that people really do not understand the role of the President. He claimed all this change and stuff he was going to do and people dont stop to think that he has no power. He cant do anything without the other branches of government backing him up. On that note, he promised to end the war and the spending, but amazingly the deficit is getting higher and Congress just signed off on another 59 billion for the Afghan war. Maybe thats the change people were wanting. But like most people of this day and age he continues to put the blame on others and make himself look like a victim and that he cant do anything because of his predecessors.

Sorry to get heated. I appreciate the comments.
Power13
  Professional Champion  
# 8 on 7/28/2010 1:38:35 PM
The reality is that Callaway is forced into doing this through market conditions, as much as any thing else. hell, they should be applauded for holding out as long as they did!!

When every other manufacturer is producing out-of-country, you are at a serious disadvantage in terms of pricing. AT some point, you need to respond.

The main issue is that we, as a society, have shown time and time again that we value low price over "Made in the USA." If we, as consumers, were willing to pay the premium associted with a domestically manufactured product, we would not be in this situation where companies are literally forced to outsource.

But time and time again, we choose "low price." So let's be realistic about where the root of the problem really lies......
RickAhlert
  Professional Champion  
# 9 on 7/28/2010 2:00:17 PM
Do you know if this is a union shop? Just curious!!!!!! There are alot of valid points and for one really appreciate the stick together mentality. There are many circumstances which impact decisions, but none more then the stock holder! I feel terrible about the folks in CA possibky losing their job, but if the product quality remains the same then Callaway will remain a strong provider in the market place.
mikenomgi
  Professional Champion  
# 10 on 7/28/2010 2:14:59 PM
Here's the announcement from Callaway. It's not quite as extreme as Devilbird made it out to be.

On the eve of announcing what could be some ugly second quarter numbers, Callaway Golf Co. said today it will move some of its club assembly operation to Monterrey, Mexico from its headquarters in Carlsbad, Ca. The company said also will move some of its distribution facility to a third party vendor in Dallas. Transition time line for the reorganization is believed to be 18 months. The company said it will continue to have assembly and distribution operations in Carlsbad beyond that 18-month window.

Callaway said the reorganization is part of its announced Global Operations Strategy that "increases speed and flexibility to the support of customer service demands, optimizes efficiencies and furthers long-term gross margin improvements,.'' basically meaning the company, faced with stagnate sales, is looking to cuts costs in order to improve margins.

"This decision was based on an extensive review of our operations structure and supports the gross margin improvements necessary to secure our leadership position in a competitive market," said Callaway President George Fellows.

rbhang10
  Professional Champion  
# 11 on 7/28/2010 2:23:22 PM
Are there any golf Mfg. left in the USA anymore? If so you should be playing that brand or stop ranting!
72Wannabe
  Legend  
# 12 on 7/28/2010 2:30:54 PM

I understand that the business word is cut throat, but I also believe that it is a travesty that American companies go against their employees and do things like this. Im not giving advice I am asking that Americans stand up and let their voices be heard. I live and grew up in the community that Callaway thrives in. My grandfather installed their first computer system in the the guys garage where they started selling their clubs in Carlsbad. They have thrived in that community for over 15 years and have brought the golfing community to this area. Since Callaway moved in and set up shop every major golf company has moved into the area and has done well for themselves. It is in times like these when things are hard for everyone that companies need to stay loyal and stand by the communities they have built and supported. This country will bounce back and when it does those companies that stayed loyal will benefit in numerous ways. All Im asking is that we send a message to all companies that do this and let them know its not ok. I am only focusing on golf companies here because this is a golfing community site.

As for 72wannabe: I agree that the current administration is another topic for another day. All I will say is that people really do not understand the role of the President. He claimed all this change and stuff he was going to do and people dont stop to think that he has no power. He cant do anything without the other branches of government backing him up. On that note, he promised to end the war and the spending, but amazingly the deficit is getting higher and Congress just signed off on another 59 billion for the Afghan war. Maybe thats the change people were wanting. But like most people of this day and age he continues to put the blame on others and make himself look like a victim and that he cant do anything because of his predecessors.

Sorry to get heated. I appreciate the comments.


Devilbird - I think you misunderstood my point or I wasn't clear - I know the President isn't solely responsible. I believe I said "government" and in fact hold both sides responsible. Until our government gets out of the way we will continue to have problems. With that said, I also realize that there are many companies that do what is best for the elite at the top and they don't do what is right for the front line employee all the time. There are problems in governments policy and business policy.
Brian  Sandberg
  Amateur  
# 13 on 7/28/2010 2:47:14 PM
rbhang10

I could not find any that make their clubs in the USA. I am starting to think that there are not any. From what I have read on the net even Ping is starting to make their cast clubs overseas.

Really is sad that nothing is made in the USA anymore.
SeanShepard
  Professional Champion  
# 14 on 7/28/2010 8:27:00 PM
The points being made in this thread constitute "protectionism". Are you all aware that protectionism is anti-capitalist, the ideas on this thread are anti-capitalist, and this issue is one of the very things the Soviet Union tried to use to lure the rest of the world to Communism.

So if you have a problem with Callaway moving to Mexico you're a commie.
itbez
  itbez
  Professional Champion  
# 15 on 7/28/2010 9:40:11 PM
It would be hard for me to take my money from Callaway when they don't get it in the first place. But I can understand your frustration and I can appreciate your argument.

Any support to your cause is better than none, so I will keep this situation and your request in mind IF I am tempted by Callaway's merchandise .....

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