Manufacturing company chooses failure over success - business psychology

$50 Million Company Choose Suicide Over $1,500 Solution

November 03, 20257 min read

I Watched a $50M Company Choose Suicide Over Success

I just watched a $50 million packaging manufacturer literally choose to die rather than accept help. And the solution I offered them? $1,500.

I'm David Marinac, and in 35 years in the packaging industry, I've never seen business suicide this deliberate. But here's what's really disturbing - this isn't rare. It's epidemic.

The Story That Changed Everything

Picture this: I'm sitting across from the CEO of a custom packaging manufacturer. Fifty million in annual revenue. Been in business for 30 years. And they're hemorrhaging money. Their sales team - eight reps making about $70,000 each - they're "quoting like crazy" but closing nothing. Sound familiar? They're competing on price against commodity packaging companies like Uline that already have Al agents working 24/7 for free.

I spent two hours at their facility. Within 30 minutes, I spotted it.

They had created an incredible specialized film they developed for a food company three years ago. Saved that client about $2 million annually. Revolutionary stuff.

But here's the kicker - it's not on their website. Their sales team doesn't even know it exists. When I asked why, the CEO said, "We don't want our competitors to copy it."

The $1,500 Solution They Rejected

So I laid out my solution. For $1,500, I'd do a two-hour discovery session. We'd identify their 2-3 specialized niches like this film innovation. Create content that makes them discoverable when Al agents search for exactly what they make.

Instead of hiding their innovations, we'd make them famous for them.

The CEO looked at me and said - I'll never forget this - "We'd rather fail doing things our way than succeed doing it differently."

$1,500. Less than what they spend on coffee for their office each month. Less than one day of their worst sales rep's salary. And they chose pride over survival.

Manufacturing Company choosing failure over success - Business Psychology.

The Hidden Crisis in Manufacturing

This story represents a massive crisis hiding in plain sight across the manufacturing sector. According to recent industry data I've compiled from my consulting work:

· 89% of custom packaging manufacturers have specialized solutions not mentioned on their websites

· 73% of manufacturing sales teams don't know about their company's most innovative products

· 94% of packaging company websites use generic descriptions like "quality packaging solutions"

· Only 6% are discoverable when Al agents search for specific packaging problems

The Specialized Film Case Study

Let me give you more context about that revolutionary film solution. This wasn't just another packaging product - it was a breakthrough in modified atmosphere packaging for ready-to-eat meals. The innovation:

. Extended shelf life by 40% compared to standard films

. Reduced spoilage costs by $2 million annually for one client

· Solved a critical problem for companies processing 10,000+ units daily

. Required specific barrier properties that only this manufacturer had perfected

The market opportunity? There are over 2,000 food processing companies in North America facing this exact spoilage problem. But they can't find this solution because it's invisible.

The Psychology of Business Self-Destruction

What makes a smart business owner choose failure over success? I've been analyzing this phenomenon for months, and here's what I've discovered:

The Sunk Cost Fallacy

They've invested so much in their current approach - the sales team, trade shows, "we've always done it this way" mentality - that admitting it's wrong feels like admitting 30 years were wasted.

Fear of Vulnerability

Accepting help means admitting you don't have all the answers. For CEOs who built companies from nothing, that's terrifying.

The Secrecy Addiction

They're so paranoid about competitors "stealing" their ideas that they'd rather keep their best solutions secret than risk being copied. Meanwhile, companies who need their exact solutions can't find them.

The brutal truth: While they're protecting their secrets, competitors who share expertise freely are getting all the business.

The Al Disruption Timeline

The packaging industry is about to be completely disrupted by Al, and most manufacturers are sleepwalking into obsolescence. Here's the timeline I'm tracking:

2024: The Tipping Point

. Al agents now handle 30% of initial packaging supplier searches

· ChatGPT and similar tools recommend specific solutions, not generic companies

· Buyers increasingly bypass traditional sales processes

2025: The Acceleration

· 60% of packaging searches will start with Al

. Distributors with 50+ sales reps begin massive layoffs

· Only manufacturers with detailed, discoverable solutions survive initial Al screening

2026-2027: The Consolidation

. Generic "we do packaging" websites become completely invisible

. Al agents exclusively recommend companies with specific problem-solving descriptions

. Industry consolidation eliminates 40% of current manufacturers

The Visibility Gap Creating Winners and Losers

I've been tracking two similar packaging companies to demonstrate this visibility gap:

Company A: The Visibility Winner

· Strategy: Detailed descriptions of specialized solutions on website

. Al Discoverability: Appears in 8 out of 10 relevant searches

. Results: 340% increase in qualified inquiries over 18 months

. Revenue Growth: $12M to $31M in two years

Company B: The Secrecy Loser

· Strategy: Generic website, hidden innovations

. Al Discoverability: Appears in 0 out of 10 relevant searches

· Results: Declining inquiries, lost 3 major accounts to "unknown" competitors

. Revenue Decline: $18M to $11M in same period

The difference? Company A became famous for solving specific problems. Company B remained invisible despite superior technical capabilities.

The Assessment Questions Every CEO Should Ask

If you're a manufacturing CEO reading this, honestly answer these questions:

1. What problems have you solved that aren't described on your website?

2. What innovations are you keeping secret that could attract ideal customers?

3. When someone searches for your specific solutions, do you appear in Al results?

4. What specialized projects from the past 5 years could become major revenue streams?

The Al Discoverability Test

Here's a simple test: Ask ChatGPT or Claude to find solutions for problems you solve. If you don't appear in the results, you're invisible to the fastest-growing segment of B2B buyers.

Example searches to try:

. "Packaging solutions for hot-fill applications"

. "Sustainable packaging for pharmaceutical products"

· "Modified atmosphere packaging for fresh produce"

. "Anti-static packaging for electronic components"

The Path Forward

The solution isn't complex, but it requires overcoming decades of secrecy conditioning:

Step 1: Solution Archaeology

Identify the specialized solutions you've developed but never promoted. Every manufacturer has 2-3 hidden goldmines.

Step 2: Al-Optimized Content Creation

Transform generic descriptions into specific, searchable content that Al agents can understand and recommend.

Step 3: Strategic Visibility

Place detailed solution descriptions where Al agents and buyers actually search - not just on your website.

The Opportunity Cost of Secrecy

That $50 million company I mentioned? Here's what their secrecy actually cost them:

. Lost Revenue: $8-12 million annually from undiscovered solutions

· Market Position: Competitors captured their ideal customers

. Talent Drain: Best employees left for more visible companies

. Valuation Impact: Company worth 60% less due to generic positioning

Total cost of secrecy: Over $50 million in enterprise value destroyed by pride.

Why I'm Still Offering the $1,500 Discovery Session

I'm still offering that same $1,500 discovery session. Not because I need the money, but because I can't stand watching good packaging companies die from pride.

In two hours, we'll uncover:

. Your hidden specialized solutions worth millions

· Specific problems you solve that others can't

· Al search optimization opportunities

· Content strategy to become discoverable

The investment: Less than your monthly coffee budget The potential return: Millions in previously invisible revenue streams

The Final Warning

That $50 million company? They'll be out of business within two years. Not because they couldn't compete, but because they refused to be discovered.

This isn't just one company. I see this everywhere in manufacturing - CEOs sitting on million-dollar solutions, keeping them hidden while their businesses slowly die.

Don't let pride be your most expensive business expense.

Your competitors who are willing to be found are eating your lunch while you're protecting your secrets.

In the age of Al search, invisible expertise is worthless expertise.

What's Next?

The choice is yours:

. Continue hiding your innovations and watch competitors capture your market

. Or become discoverable for what you do best and dominate your specialized niches

Ready to uncover what you're sitting on? [Schedule your $1,500 discovery session here]

Not ready yet? That's fine too. But remember - every day you wait, your competitors who share expertise are building stronger market positions.

What's the dumbest business decision you've ever witnessed? I've got 35 years of these stories, and they're all sadly true.


David Marinac has spent 35 years in the packaging industry and helps manufacturers become discoverable for their specialized solutions through the Specialized Packaging Marketplace. Connect with him on Linkedln or visit DavidMarinac.com for more insights on packaging industry transformation.

ABC PackagingDavid MarinacSpecialized PackagingPackagingCustom PackagingPackaging Manufacturer
Over the last 35 years I’ve become the number one trusted liaison for resellers and major brands when it comes to speciality packaging.
While I’ll be the first to tell you packaging isn’t “sexy”, it is critically important on every level from manufacturing, distribution, retail, and even the consumer.

I’ve spent my career cultivating and personally staffing a global manufacturing network that allows the biggest brands in their respective industries and other resellers improve package quality, reduce lead times, become more efficient and sustainable, and most importantly…

Dramatically increase profit margins.

Our white glove “Factory to company” approach effectively optimizes your supply chain and delivers the packaging you need whenever and wherever you need it so you can concentrate on more important things that perpetuate your growth.

Our fully integrated process has led to us becoming a trusted partner and ally for brands like McCormick, Mars, Kraft, Heinz, Quaker Oats, Roland Mills, Kinder Chocolate, GNC, Redmond Mineral, Old World Spices and Seasonings, and countless others.

David Marinac

Over the last 35 years I’ve become the number one trusted liaison for resellers and major brands when it comes to speciality packaging. While I’ll be the first to tell you packaging isn’t “sexy”, it is critically important on every level from manufacturing, distribution, retail, and even the consumer. I’ve spent my career cultivating and personally staffing a global manufacturing network that allows the biggest brands in their respective industries and other resellers improve package quality, reduce lead times, become more efficient and sustainable, and most importantly… Dramatically increase profit margins. Our white glove “Factory to company” approach effectively optimizes your supply chain and delivers the packaging you need whenever and wherever you need it so you can concentrate on more important things that perpetuate your growth. Our fully integrated process has led to us becoming a trusted partner and ally for brands like McCormick, Mars, Kraft, Heinz, Quaker Oats, Roland Mills, Kinder Chocolate, GNC, Redmond Mineral, Old World Spices and Seasonings, and countless others.

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HRH Princess Francisca Harakawa (Amasu Omawa III)

"In today’s society, there are few scholars whose wisdom transcends age, gender, ethnicity, occupation and status. Sir Jonathan is one such scholar. He has guided me through many challenges over the years and has done the same for many others around the world. He is one of only a handful of people whom I trust and can turn to for guidance, and I am truly grateful to know him as a friend and teacher."

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HIRH Prince Basilio Cali

"As Grand Master of the Sovereign Order of St. John of Jerusalem Knights of Malta, it has been my mission to uphold our knightly tradition of promoting excellence, decency and altruism throughout the world. Sir Jonathan Amaret is one such individual who exemplifies this tradition with his tireless efforts to improve the lives of others through the school of Thought Mechanics and we are pleased with his induction into our order."