Jim McIngvale, who owns Gallery Furniture and is known locally as Mattress Mack, is telling customers agreeing to buy $7,000 in furniture that he will give them their money back if oil is $85 a barrel or higher at the end of this year.
It would be pretty cheap for Mattress Mack to hedge this trade and protect his sale.
Yes, a pretty safe bet and slick sales gimmick
ReplyDeleteOnly one thing dropping faster than crude http://bitcointicker.co/
Mattress Mack seems to have the offer backwards. His (Houston) customers can afford to pay for the furniture if it goes over $85. Many will lose their jobs if it stays under $50. That should have been his offer.
ReplyDeleteFrom his perspective, this is a great win/win for him. If the price stays below $85 (it won't), he sells a ton of furniture. If it goes up over $85, he makes money on his investments that he has likely made to hedge his bets.
DeleteSmart move by Mattress Mack, if you ask me.