Financial Challenges and Strategic Shifts
filed for Chapter 11 bankruptcy protection, citing a severe impact on its financial position due to a challenging macroeconomic environment and dwindling demand for its products.
The company has been attempting to pivot towards a digital-first, technology-led model, seeking strategic alternatives to transform its business amid declining popularity, especially with younger consumers.
Operational Changes and Market Dynamics
Tupperware's financial difficulties led to the closure of its only US plant in , resulting in 148 layoffs, and a significant reduction in its workforce as part of cost-cutting measures.
The company's sales decline was exacerbated by a post-pandemic increase in costs for raw materials, labor, and freight, alongside a strategic reliance on direct sales which has faced challenges in adapting to changing consumer preferences.