In a savvy business move, hip-hop mogul JAY-Z reportedly ended his relationship with the cannabis brand Monogram years before the company hemorrhaged $575 million, according to TMZ.
An insider revealed that "JAY-Z stepped away years ago and it just went up in a mess." The brand reportedly went to another owner in December 2022 after burning through a staggering amount of cash.
Industry experts note that Monogram struggled with high marketing costs and an overpriced $50 pre-roll product that failed to resonate with consumers in the competitive cannabis market.
By distancing himself from the failing brand early on, JAY-Z was able to avoid being saddled with the massive losses that ultimately plagued Monogram. This speaks to the rapper-turned-businessman's keen instincts and ability to make prudent decisions to protect his investments.
JAY-Z's involvement with Monogram was part of his broader foray into the cannabis industry. In 2019, he joined the company as its chief brand strategist, lending his star power and industry expertise to help establish the brand.
However, as the financial troubles mounted, JAY-Z wisely recognized the writing on the wall and made the strategic choice to cut ties before the company's downfall. This proactive move allowed him to preserve his reputation and avoid being dragged down by Monogram's collapse.
The reported $575 million loss serves as a cautionary tale for entrepreneurs and investors in the rapidly evolving cannabis space. It underscores the importance of conducting thorough due diligence, understanding market dynamics, and being willing to make tough decisions to protect one's financial interests.
JAY-Z's ability to navigate this situation and distance himself from the impending disaster demonstrates his savvy business acumen. By making the prudent choice to exit Monogram before its downfall, the hip-hop icon has once again proven his prowess in the world of business and entrepreneurship.
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