Roughly three years ago, innovators Noah Silverman and Yuki Kinoshita introduced the world to the Plufl — a product they heralded as “the world’s first dog bed designed specifically for humans.” Their unconventional concept struck an immediate cultural chord, rapidly going viral on TikTok and earning them an appearance on the entrepreneurial reality powerhouse, “Shark Tank.” During their segment, billionaire investor Mark Cuban humorously attempted to fold his tall, 6-foot-2 frame into the cushioned, donut-shaped bed, a moment that captured both the investors’ and viewers’ amusement. Ultimately, Cuban joined forces with his fellow shark, Lori Greiner, to place a joint $200,000 investment into the budding company, recognizing the quirky yet high-potential business opportunity before them.
Like many products that find traction on “Shark Tank,” Silverman and Kinoshita’s strategy was to grow efficiently by leveraging cost-effective manufacturing abroad. They projected that by producing their $399 Plufl units in China—where the per-unit cost hovered around $140—they could balance affordability with profitability while scaling rapidly. This model initially proved successful: by 2023, Plufl had generated a notable $1 million in sales, positioning the company for ambitious expansion plans that forecast up to $8 million in retail distribution for the year ahead. Yet, their optimism soon clashed with economic reality. A sudden year of heavy tariffs and volatile global trade negotiations destabilized their finely tuned plan. As manufacturing costs surged unpredictably, Silverman and Kinoshita, along with countless other former “Shark Tank” alumni, were compelled to re-evaluate and reconfigure their global supply chains.
Reflecting on those challenges during an appearance on the DTC podcast that summer, Kinoshita noted with pragmatic candor, “This year was supposed to be the year of retail. Unfortunately, things kind of took a turn with the tariffs. That’s just the nature of manufacturing overseas—you never truly control your supply chain, or your costs. It’s not ideal, but it’s part of the game.” His words underscored a truth that seasoned entrepreneurs recognize well: globalization’s efficiencies often come with uncertainty and exposure to political and trade fluctuations far beyond a company’s control.
For over a decade, “Shark Tank” has built its reputation as an arena where bold ideas collide with rigorous scrutiny. Contestants have only two minutes to deliver a concise yet compelling pitch before facing a barrage of analytical questions from an experienced panel of investors—all under the pressure of national television visibility. Should an entrepreneur be fortunate enough to attract one or more offers, they must make high-stakes decisions in mere moments—decisions that could redefine their business trajectory.
As the show launched its 17th season on ABC, cases like Plufl’s were becoming emblematic of broader market turbulence. Businesses across industries faced escalating production costs and disrupted logistics due to extended tariffs. Consumer confidence was softening, while digital marketing and product discovery methods—particularly dynamic platforms such as TikTok—were evolving faster than many brands could adapt. Mark Cuban summarized this tension succinctly, explaining that he consistently advocates domestic production but acknowledges its impracticality for all. Companies unable to manufacture efficiently in the United States, he argued, are forced to either increase retail prices or accept narrower profit margins.
For entrepreneurs dependent on global supply networks and viral online exposure, this climate has made pitching on “Shark Tank” even more precarious. Many discover that between filming their episode and its eventual broadcast, economic conditions shift so dramatically that their initial profit projections no longer align with reality. Cuban, who exited the show after its 16th season, commented via email to Business Insider that without mastering price elasticity or finding viable U.S.-based manufacturing solutions, many contestants face bleak prospects.
For the past two decades, American small businesses have looked to Chinese factories as a cornerstone of scalable production—balancing quality, affordability, and flexibility. This dynamic has been deeply ingrained in “Shark Tank’s” DNA since its debut in 2009. Some of the program’s most triumphant ventures, such as Tipsy Elves holiday sweaters and the versatile Rinseroo pet shower attachment, initially depended on Chinese manufacturing—often upon the investors’ recommendation.
This philosophy was evident even in the show’s earlier seasons. During Season 3, for instance, entrepreneur Donny McCall pitched his Invis-A-Rak, a foldable cargo management system he insisted on producing locally in Sparta, North Carolina. His commitment to domestic manufacturing carried a steep $250-per-unit cost, drawing a perplexed reaction from the sharks. Kevin O’Leary, nicknamed “Mr. Wonderful,” countered by observing that Asian manufacturers could potentially produce the same item for $150, effectively putting him “in business.” Though McCall left without a deal, he later credited his appearance for amplifying his exposure and contributing indirectly to his company’s progress.
However, the economic calculus that long favored offshore production began to shift dramatically under former President Donald Trump’s “America First” trade policies. The administration’s introduction of tariffs fundamentally altered the manufacturing landscape for many small- and mid-sized firms. A White House spokesperson, Kush Desai, emphasized that Trump’s own business acumen shaped his approach, asserting that the long-term agenda aims to strengthen U.S. manufacturing and ultimately ensure “the best is yet to come” for both entrepreneurs and ordinary Americans.
While proponents of these policies argue they will ultimately stimulate domestic growth, the immediate consequences have been profound uncertainty. Entrepreneurs faced not just higher costs but also volatile regulatory conditions that complicated funding and supply planning. As Benjamin Jones, a professor of entrepreneurship and strategy at Northwestern University’s Kellogg School of Management, explained, fluctuating tariffs have a chilling effect on investment. When business owners cannot rely on stable sourcing from traditional low-cost regions, it becomes far more difficult to convince investors to commit capital.
Kevin O’Leary did not respond to Business Insider’s request for comment, but he has previously voiced his support for tariffs as a mechanism to “level the playing field” for U.S. companies. Nonetheless, even the show’s most successful past participants have not escaped the fallout. Aaron Krause, founder of the household-cleaning phenomenon Scrub Daddy, knows this firsthand. His signature smile-shaped sponge became legendary as one of “Shark Tank’s” biggest success stories, having secured a $200,000 investment from Lori Greiner and expanding into 47 international markets. Yet when new tariffs targeted Vietnam—a key site for his company’s production—Krause was forced into crisis management mode before the rates were later reduced.
Krause noted that the changing landscape might tilt negotiating power toward the sharks this season, as startups struggling to localize production would desperately need investment. Still, he lamented a deeper structural issue: key manufacturing expertise in fields like textiles and electronics has steadily eroded within the U.S., making reshoring far from straightforward. “I don’t know if an investment from ‘Shark Tank’ could fix that,” he admitted candidly.
Steward Gold, creator of the Dingle Dangle baby-changing accessory and another former contestant backed by O’Leary, faced similar strains. His China-made product enjoyed early traction post-show, but surging tariffs soon eroded margins to the point of existential threat. To stay afloat, Gold slashed his marketing spend and postponed inventory orders. Looking back, he admitted uncertainty about how he might approach the show today: “I think sharks may shy away more from product deals this time around, especially those dependent on overseas manufacturing.”
Amid these headwinds, one consensus cuts across both investors and contestants alike: in the current environment, the sharks hold more leverage than ever. Investor Robert Herjavec highlighted this shift as the season began, noting that economic instability has dampened entrepreneurs’ expectations, thereby enabling sharper valuation negotiations. Joe Demin, founder of Yellow Leaf Hammocks—a company producing artisan-crafted hammocks in Thailand and former recipient of shark investment—shared a similar assessment. Having seen his production costs rise by 30%, Demin suspended new projects and hiring, explaining that while investors’ negotiating hand has strengthened, founders’ valuations may inevitably contract.
Yet, despite all these challenges, genuine innovation still shines through. During the Season 17 premiere, three of the four contestants walked away with deals, illustrating that great ideas can still resonate even amid economic turbulence. Among them was comedian Pete Davidson, who pitched DoubleSoul—a company he serves as creative director—focused on producing the “perfect everyday sock.” Jewelry designer Kendra Scott ultimately offered $500,000 for a 10% stake, a proposal the brand accepted. DoubleSoul’s success lies partly in its pragmatic business fundamentals: socks are inexpensive to produce, universally needed, and culturally amplified by the involvement of high-profile figures like Davidson. With manufacturing based in Turkey, where tariffs remain comparatively moderate at 15%, DoubleSoul’s cost structure remains far more manageable than that of many contemporaries. Pair that with the publicity generated by their prime-time appearance, and the brand stands well-positioned for growth despite the industry’s broader challenges.
Through all of this, one overarching theme endures: entrepreneurship in today’s globalized economy requires not only creative vision but also tactical flexibility, resilience, and a deep understanding of macroeconomic forces. “Shark Tank,” by design, places that truth on vivid display—showcasing both the boundless potential and the unrelenting pressures of turning an idea into a sustainable business in an increasingly unpredictable world.
Sourse: https://www.businessinsider.com/trump-tariffs-shark-tank-playbook-manufacturing-china-mark-cuban-2025-10
