Mitigating Inflation
Mitigating Inflation
by Sid Raisch
Let’s get right to the point. Inflation is emerging as a crisis just in time for our peak of spring business.
I’m hearing talk of Group clients who are thinking of lowering their margin expectations by passing along only their cost increases in some price increases, especially on higher cost items, but also on lower price high volume items. This notion is primarily in fear that customers will not have as much disposable income to pay so much more. This thinking is based on what I believe to be incomplete if not faulty logic. Before it goes further it is important to carefully consider all sides of the sentiment.