Constellation Brands Faces Unforeseen Immigration Impact

Constellation Brands, the company behind popular beers like Modelo Especial and Corona, is grappling with significant challenges due to increased immigration enforcement. Sales have plummeted, and Modelo lost its top-selling beer status, leading to a nearly forty percent drop in the companys stock. This downturn is largely due to Latino consumers, both documented and undocumented, being hesitant to go out due to fear of immigration enforcement. This has resulted in fewer large gatherings and celebrations, impacting consumer spending. Constellations struggles highlight how immigration policies can unexpectedly affect various parts of the economy. The company warned investors that changes in immigration laws and enforcement pose a risk to their business, with beer shipments to US retailers dropping by eight point seven percent last quarter. The big question for Constellation is whether this shift in consumer behavior is temporary or a long-term threat.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.