|
Playboy is in the publishing / media business. The primary revenue stream for publishing / media is advertising. Advertising spending is closely linked to the economy. During an economic downturn companies cut costs. Step 1 is layoffs (since payroll is the #1 expense for most businesses), the next expense on the chopping block is sales / mktg expense (advertising, etc). In other words, the media business is very sensitive to changes in the economy.
__________________
I died.
|