🛒 “Where the rich shop” — Walmart’s renaissance. Jersey Mike’s $8B sandwich. Google’s Chrome divorce.
Nov 20, 2024
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A potential breakup of Google's Chrome browser raises eyebrows amid monopoly concerns. Jersey Mike's makes headlines with an $8B acquisition, turning out to be more than just a sandwich chain. Walmart emerges as a surprising financial champion, drawing in affluent families with its low prices. And in the world of bizarre art, the fate of a banana duct-taped to a wall hangs in the balance, poised to fetch millions. The podcast serves up a blend of humor and insightful analysis on the ever-shifting market dynamics.
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Quick takeaways
Google Chrome may face forced separation from Google due to antitrust issues, marking a significant shift in the tech industry.
Jersey Mike's $8 billion acquisition highlights the importance of franchise training programs in driving profitability and resilience in the fast-food sector.
Deep dives
Google's Potential Separation from Chrome
Google Chrome, currently controlling 61% of the internet browser market, may be facing separation from its parent company, Google, due to antitrust lawsuits. This unprecedented move could mark the first forced breakup of a major tech company, spurred by concerns that Google’s monopoly on online search harms competition. The Department of Justice views this step as necessary to restore competitive balance in the tech landscape, despite Google's profitable operations. If Chrome were to become an independent entity, it could lead to an initial public offering, giving consumers the chance to invest in the browser separately from Google's other services.
Jersey Mike's: The Education Business
Jersey Mike's has been acquired for $8 billion, not just for its sandwiches, but because it operates largely as an educational institution for its franchisees. The chain has focused on training, with a nine-week program that surpasses competitors and builds successful local operations. Despite the challenging restaurant market, Jersey Mike's has thrived, offering significant revenue per location compared to Subway, maximizing its growth through franchise support. This unique position has allowed Jersey Mike's to succeed in a down year for many restaurants, demonstrating the power of a strong training and support system in franchise operations.
Walmart: Rising Above the Competition
Walmart has emerged as the best-performing non-tech stock of 2024, capitalizing on the combination of low prices and convenience which has attracted a broader customer base, including high-income shoppers. The company reported record revenue and profits, driven by grocery sales which account for 60% of its business, amidst rising inflation. Additionally, Walmart Plus, the company's subscription service, has seen significant uptake among affluent consumers, offering them the value and accessibility they seek. This success highlights that execution in retail strategy, particularly in adapting to changing consumer needs, can have substantial impacts on performance and market share.
Google’s Chrome Browser is used by 61% of us… but now Google may be forced to split it off.
Jersey Mike’s sandwich chain was just acquired for $8B… but it’s really an education company.
The #1 non-tech stock of 2024? Walmart… It’s winning on rich families with six-figure incomes.
Plus, can a banana duct-taped to a wall sell for $1.5M?... The art market decides today (so take our Spotify poll).
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