The Atkins Excuse

Daniel Gross has an amusing piece on companies, most recently Krispy Kreme, blaming the popularity of low carb diets on their declining stock prices. He makes a convincing case that other factors are the more likely culprits and concludes with some reasonable advice:

The question for investors in Krispy Kreme—and in other companies who have staked their future on high-carb products—is whether Atkins exerts a lasting influence on consumption patterns. I’m guessing it won’t. After all, for all the time and money we spend on diets and diet products, we Americans are getting fatter every year. As you’re lying on your couch shoveling snacks into your mouth, you should have plenty of time to think about the companies you want to invest in. Remember: Don’t worry about the fads, worry about the financials.

FILED UNDER: Economics and Business
James Joyner
About James Joyner
James Joyner is Professor and Department Head of Security Studies at Marine Corps University's Command and Staff College and a nonresident senior fellow at the Scowcroft Center for Strategy and Security at the Atlantic Council. He's a former Army officer and Desert Storm vet. Views expressed here are his own. Follow James on Twitter @DrJJoyner.

Comments

  1. David C says:

    And in any case, it’s not like Atkins has displaced the “Eat All the Donuts You Want” Diet as the diet fad du jour. I doubt there’s *any* diet that would recommend them as a “good” food, though I suppose Atkins might actively discourage them more than others.

  2. M. Murcek says:

    I’m an Atkins diet adherent, and it’s worked well for me – took off 100 pounds in a year and a half and have kept it off for 5 years. I’m lost as a customer to Krispy Kreme. However, there are people out there who are eating every one of the donuts I don’t touch.

    Some of them are frighteningly obese.

  3. McGehee says:

    I was once a real donut fiend. I was also once nearly 400 pounds. I can’t stand Krispy Kreme — what makes people here in the South think donuts have to be sugar-glazed even when they’re also covered with chocolate icing and sprinkles?

    I suppose it could be worse. They might also put mayonnaise on ’em.

  4. hln says:

    We at my workplace all agree that Krispy Kreme should sponsor Tour de Donut.

    I’m looking forward to this. But you still have to watch what you eat…so you don’t “toss your doughnuts” and all while riding. Amazing maxim, that. Watch what you eat.

    Mmm. Carbs.

    hln

  5. Boyd says:

    Mmmmm…glazed donuts with mayonnaise…now we’re talkin’!

  6. McGehee says:

    Oh, thanks a lot Boyd! LOL!