Gillette is owned by Jorge Paulo Lemann, the same guy who owns AB. So his Mulvaney venture isn't his first foray into creating woke controversaries. He also has a habit of buying companies, shredding them down than turning around and selling them. Usually through cutting cost in management and labor. The US craft industries though claim he is cut throating the industry to make his own brands, or brands he buys and decides to hold onto more profitable.
He was 89 billion in debt in 2021, but he had spent the last several years investing in Modulo heavily. The Mulvaney debacle was to gain market exposure to Modulo. He knew the argument would be framed around him having a vested interest in pushing Modulo and most figured that was what he was up to until told about the US rights being sold to constellation brands. But under that agreement Constellation was allowed to enter into short term agreements with AB to ensure the growth and success of the brand once it was transferred. They invested heavily not only into expansion of plants in Mexico to manufacture the beer they also made deals to grow grains in Mexico, South Africa, also bought into a state of the art bottling plant in S. Africa, and convinced Ball corporation to build a plant in Mexico to produce aluminum cans for them. Because of the shortage of aluminum this placed a heavy burden on other brewers to obtain aluminum because Ball quadrupled the amount a company in the US would have to order making it near impossible for small brewers and the craft brewing industry to get their cans. So the Modulo expansion was costly but would in the end enable them to increase their profit margin by a billion dollars if they could get Modulo in the top ten beers, that would not only give them national exposure here but global exposure being listed as a top ten seller in the US. They just needed something to spear head the drive, controversy, especially once making international headlines, would take care of it. By placing Modulo in the top ten beer sellers the increase from the profits of only having to pay Mexican workers a quarter of what they pay their western counterparts, plus no benefits, retirement plans, no workers comp fund or unemployment fund to pay into, you can see the motivation behind the whole thing.
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