While it may be unethical to do price gouging and use inflation as excuse, there are two important excuses for this behavior:
It’s the fault of the government for causing it in the first place
It’s not easy to make accurate assessments of the costs in an inflationary environment. It’s a guess at best. So even if a business is 100% ethical, not increasing the prices sufficiently can cause them to lose money. Keep in mind that the profit margins of some businesses is like 3%, in an environment with 9% inflation. If that’s not a nightmare for a business, I don’t know what is.
But again, not every single business works ethically, but beyond that it’s the government’s fault.
Go run a business then say that nonsense. This is not how it works in real life. Lot’s of business operations involve taking risks into the future. Go read about Ray Dalio’s story on stabilizing the price of McDonald’s chicken nuggets with futures contracts.
This is the problem with social media. A teenager who doesn’t know shit in how business operations work is here to teach us about it… what a joke.
Please shut your mouth and don’t speak of things you don’t understand to promote your agendas. Life is more complicated than the cartoon world you learned in school.
LOL. I have, and I do. Both medium sized independents and in a large org. You are again, literally, and irrefutably wrong. All businesses know their current costs. Stop trying to reframe it against future forecasts.
Only responding so people dont fall for your trolling, as fact.
You don’t, and stop lying. Taking risks in business is normal. Future or not depends on the way the business operates and what kind of risks counter parties have. Stop lying and making blanket statements. It’s fascinating how much you’d lie to defend your dumb political agendas. Your politics made you a liar. Congrats.
Hey everybody, if you dont agree with this person you’re a liar.
What do politics have to do with facts?
If I’ve already purchased inputs at $10, and my sell price is $15, and the cost of inputs next week are going to be $20 maybe, there is no reason for me as an ethical business owner to raise my prices in anticipation. I will not be in the red. I will need to raise my prices if inputs increase. Smoothing my price curve is a clear deflection on your part. No one is talking about keeping nuggies at $x to avoid impairing demand.
My objection to you all the way through is based on your fraudulent and specific lie - around current input costs and ethical business requirements to raise prices. Stop trying to confuse the issue.
Also, perhaps change your user name to Mr. Adhominem.
Disagreeing is fine. Making authority-based arguments is where the lying begins. Nowhere have I said “believe me because I’m this and that”. That’s the difference. I’m open to rational discussion.
You’re talking about something that was already done. That’s the difference. I’m talking about something you’re manufacturing now and you’re preparing to ship. You still have to anticipate how your contractors will act in an inflationary environment. For example, if you’re shipping the goods that you created and you’re paying the cost for shipping due to details required, and gas prices go up, you still have to anticipate cost going up even if you made a contract with a third party retailer to sell things after the shipping. All this also ignores the complications in big chains that fail to react fast enough to such changes.
Speaking from your butt that everything is fixed and can be anticipated is ridiculous and never realistic. If you’re selling toys in a shop, sure, your business model is super-simple. But don’t make shit up about big chains that deliver over weeks at a time and expect them to calculate everything to the latter. It’s not feasible, especially when your margins are less than 5%.
Err… “go run a business before…” “I have”… “Stop appealing to authority”
Yeah, your inventory of raw materials is already purchased. Your current freights already contracted. Most companies can raise prices lockstep with costs without going whoopsie daisy, we raised it too much.
For the last time, your claim was that even ethical businesses must xyz, now youre talking specifically about large complex operations that do not have clear controls, KPIs, supply chain and contract risk management practices. Way to shift the goal posts.
Were having two conversations here, and Im beginning to assume its by design on your part. Or… yeah… were all lying teens, youre the only one thats right.
My butts getting tired so Ill stop speaking through it.
Most companies can raise prices lockstep with costs without going whoopsie daisy, we raised it too much.
I mean, I’m done making examples from real life and you making up bullshit. I guess Ray Dalio fixing the price for chicken nuggets is a bullshit story… I mean, McDonalds could’ve just increased the price in “lockstep” with the change in chicken nuggets prices, right? This is the stupidity of oversimplified world view that I keep seeing around here. You forget socioeconomic factors and how people respond to price changes. It’s unbelievable how you paint this naive world where it’s possible to have everything dynamic and predictable.
And I like that “most” word you used. I guess you either are conceding or just playing with words to give yourself some leeway after fucking up, since I never used a blanket statement and I only need a counterexample to be right. You see, you’re assuming that everything is contracted, but doesn’t that depend on the contract’s terms? Even if you use a futures contract there’s a risk associated with it and arbitrage will fuck you up if you make a bad bet and management will screw over whoever made that suggestion. In your little head “everything is fixed”, because it doesn’t play well with your dumb agenda of the simple cartoon world that pertains to whatever dumb communism is running in your head, like I always see on Lemmy.
yo, int. Business economics major here (what got me to Europe) and I can 100% guarantee that you don’t know shit, and are literally repeating the economic arguments of a fantasy book.
Imagine if I took Game of Thrones as a guide on pre enlightenment warfare
If you’re right, you’re free to debunk my arguments. But then you’re full of shit, how would you do that?
Of course everything I’m saying is fantasy… because it doesn’t align with your dumb agenda. I gave examples from real life, but you, Mr. Business Major, have better examples. Why don’t you show us? Because you’re full of shit!
how am I supposed to disprove literal fantasy? no, really, I may as well try and disprove Harry Potter!
then again, considering you basically deny the last 100 years of economic science, there is not much anyone can tell you, that you won’t just blatantly disregard.
“Economic science”… you basically mean “Keynesian economics” bullshit. Yeah, and it’s not really 100, it’s 50 since Nixon separated gold from us dollars, and we’re seeing the great effects and the huge instability in the whole world’s economy.
And besides your Keynesian economics bullshit, all I argued is simple supply and demand, which has been true for thousands of years, since humans started creating farms inside fences. So spare me your bullshit and condescension. The only fantasy here is the communism you, and other ignorant Lemmy users, are living in your heads. I do hope you get your wish, and I’ll be laughing watching you getting shot in the Gulag.
Congrats on having the most ignorant opinion and most downvotes of this entire Lemmy post.
I’m really surprised to see someone still parroting this Trumptard delusion so long after the stimulus checks were long gone. Do you really think those few checks did that much? They were not that much money and probably went mostly to basic living expenses for those who were in need at the time, spent on the usual things and then forgotten. For my family, it was just an increase to our bank balance that stayed there for a little while and we didn’t change any spending habits.
As everyone else has said it’s easy to see that inflation has been caused by corporate greed. There was an initial issue of supply chain resources being scarce during 2020-2021 that hurt economies everywhere, but we are well past that and all the price hikes are due to corporate executive decisions to take more profits now.
Why bother responding to you when you think my opinion is this and that with personal attacks? Here’s a better answer as opposed to everyone else I responded to seriously: Everything you said is wrong. Go fuck yourself, I don’t care what you think. See how that’s better? When an animal acts like an animal, I like to give them the treatment they deserve. Now fuck off.
You are spouting all this garbage like you want to pretend to be an economist, but you are displaying an inch-deep level of knowledge on the subject. Perhaps you should study macroeconomics for a bit.
Being wrong? Says who? A fuck nobody on the internet? HAHAHAHAHAHAHAHAHAHA!
Dude, not only that I run businesses and make shit loads of money and have experience in all that, but I also am textbook correct. Every argument presented here is wrong in a way or another, and you think just because a bunch of uneducated animals, bots and teenagers say “I’m wrong” it’s gonna make me wrong? HAHAHAHAHAHAHAHAHAHAHA!
But for what it’s worth, I am enjoying something. I’m enjoying noticing why everyone is broke and poor. It’s because people are ignorant, stupid, dependent, brainwashed and don’t want to work and insist on handouts. Good! So, go fuck yourself again and make me laugh more.
Don’t forget to cry more and ask for help from your masters who despise you. I hope the government shuts down and you starve on the streets. That’s the least you deserve. HAHAHAHAHAHA!
Wow you are really a shitty person. You will be blocked after this message, so good riddance you misanthropic garbage bastard.
FYI there’s no chance of me starving because I’m quite well off, with savings to live on for a year if I lost my job, plus I make more than double the amount of money I need to support my family. I own my own house and numerous acres of land. Even if I had no money at all I could still hunt and fish on my property, so I’m ready for anything.
While it may be unethical to do price gouging and use inflation as excuse, there are two important excuses for this behavior:
But again, not every single business works ethically, but beyond that it’s the government’s fault.
You are absolutely incorrect. You literally know your costs when you are a business. That is the one thing you know with absolute certainty.
You might not know what those costs will be in the future, but you also dont need to increase prices ahead of time for a potential future event.
Go run a business then say that nonsense. This is not how it works in real life. Lot’s of business operations involve taking risks into the future. Go read about Ray Dalio’s story on stabilizing the price of McDonald’s chicken nuggets with futures contracts.
This is the problem with social media. A teenager who doesn’t know shit in how business operations work is here to teach us about it… what a joke.
Please shut your mouth and don’t speak of things you don’t understand to promote your agendas. Life is more complicated than the cartoon world you learned in school.
LOL. I have, and I do. Both medium sized independents and in a large org. You are again, literally, and irrefutably wrong. All businesses know their current costs. Stop trying to reframe it against future forecasts.
Only responding so people dont fall for your trolling, as fact.
You don’t, and stop lying. Taking risks in business is normal. Future or not depends on the way the business operates and what kind of risks counter parties have. Stop lying and making blanket statements. It’s fascinating how much you’d lie to defend your dumb political agendas. Your politics made you a liar. Congrats.
Hey everybody, if you dont agree with this person you’re a liar.
What do politics have to do with facts?
If I’ve already purchased inputs at $10, and my sell price is $15, and the cost of inputs next week are going to be $20 maybe, there is no reason for me as an ethical business owner to raise my prices in anticipation. I will not be in the red. I will need to raise my prices if inputs increase. Smoothing my price curve is a clear deflection on your part. No one is talking about keeping nuggies at $x to avoid impairing demand.
My objection to you all the way through is based on your fraudulent and specific lie - around current input costs and ethical business requirements to raise prices. Stop trying to confuse the issue.
Also, perhaps change your user name to Mr. Adhominem.
Disagreeing is fine. Making authority-based arguments is where the lying begins. Nowhere have I said “believe me because I’m this and that”. That’s the difference. I’m open to rational discussion.
You’re talking about something that was already done. That’s the difference. I’m talking about something you’re manufacturing now and you’re preparing to ship. You still have to anticipate how your contractors will act in an inflationary environment. For example, if you’re shipping the goods that you created and you’re paying the cost for shipping due to details required, and gas prices go up, you still have to anticipate cost going up even if you made a contract with a third party retailer to sell things after the shipping. All this also ignores the complications in big chains that fail to react fast enough to such changes.
Speaking from your butt that everything is fixed and can be anticipated is ridiculous and never realistic. If you’re selling toys in a shop, sure, your business model is super-simple. But don’t make shit up about big chains that deliver over weeks at a time and expect them to calculate everything to the latter. It’s not feasible, especially when your margins are less than 5%.
Err… “go run a business before…” “I have”… “Stop appealing to authority”
Yeah, your inventory of raw materials is already purchased. Your current freights already contracted. Most companies can raise prices lockstep with costs without going whoopsie daisy, we raised it too much.
For the last time, your claim was that even ethical businesses must xyz, now youre talking specifically about large complex operations that do not have clear controls, KPIs, supply chain and contract risk management practices. Way to shift the goal posts.
Were having two conversations here, and Im beginning to assume its by design on your part. Or… yeah… were all lying teens, youre the only one thats right.
My butts getting tired so Ill stop speaking through it.
I mean, I’m done making examples from real life and you making up bullshit. I guess Ray Dalio fixing the price for chicken nuggets is a bullshit story… I mean, McDonalds could’ve just increased the price in “lockstep” with the change in chicken nuggets prices, right? This is the stupidity of oversimplified world view that I keep seeing around here. You forget socioeconomic factors and how people respond to price changes. It’s unbelievable how you paint this naive world where it’s possible to have everything dynamic and predictable.
And I like that “most” word you used. I guess you either are conceding or just playing with words to give yourself some leeway after fucking up, since I never used a blanket statement and I only need a counterexample to be right. You see, you’re assuming that everything is contracted, but doesn’t that depend on the contract’s terms? Even if you use a futures contract there’s a risk associated with it and arbitrage will fuck you up if you make a bad bet and management will screw over whoever made that suggestion. In your little head “everything is fixed”, because it doesn’t play well with your dumb agenda of the simple cartoon world that pertains to whatever dumb communism is running in your head, like I always see on Lemmy.
Give yourself a break before your head pops.
yo, int. Business economics major here (what got me to Europe) and I can 100% guarantee that you don’t know shit, and are literally repeating the economic arguments of a fantasy book.
Imagine if I took Game of Thrones as a guide on pre enlightenment warfare
If you’re right, you’re free to debunk my arguments. But then you’re full of shit, how would you do that?
Of course everything I’m saying is fantasy… because it doesn’t align with your dumb agenda. I gave examples from real life, but you, Mr. Business Major, have better examples. Why don’t you show us? Because you’re full of shit!
OK, bot.
how am I supposed to disprove literal fantasy? no, really, I may as well try and disprove Harry Potter!
then again, considering you basically deny the last 100 years of economic science, there is not much anyone can tell you, that you won’t just blatantly disregard.
“Economic science”… you basically mean “Keynesian economics” bullshit. Yeah, and it’s not really 100, it’s 50 since Nixon separated gold from us dollars, and we’re seeing the great effects and the huge instability in the whole world’s economy.
https://wtfhappenedin1971.com/
And besides your Keynesian economics bullshit, all I argued is simple supply and demand, which has been true for thousands of years, since humans started creating farms inside fences. So spare me your bullshit and condescension. The only fantasy here is the communism you, and other ignorant Lemmy users, are living in your heads. I do hope you get your wish, and I’ll be laughing watching you getting shot in the Gulag.
Congrats on having the most ignorant opinion and most downvotes of this entire Lemmy post.
I’m really surprised to see someone still parroting this Trumptard delusion so long after the stimulus checks were long gone. Do you really think those few checks did that much? They were not that much money and probably went mostly to basic living expenses for those who were in need at the time, spent on the usual things and then forgotten. For my family, it was just an increase to our bank balance that stayed there for a little while and we didn’t change any spending habits.
As everyone else has said it’s easy to see that inflation has been caused by corporate greed. There was an initial issue of supply chain resources being scarce during 2020-2021 that hurt economies everywhere, but we are well past that and all the price hikes are due to corporate executive decisions to take more profits now.
Why bother responding to you when you think my opinion is this and that with personal attacks? Here’s a better answer as opposed to everyone else I responded to seriously: Everything you said is wrong. Go fuck yourself, I don’t care what you think. See how that’s better? When an animal acts like an animal, I like to give them the treatment they deserve. Now fuck off.
Wow you’re really not enjoying being wrong huh.
I’m not gonna fuck off, I’m gonna keep on.
You are spouting all this garbage like you want to pretend to be an economist, but you are displaying an inch-deep level of knowledge on the subject. Perhaps you should study macroeconomics for a bit.
Being wrong? Says who? A fuck nobody on the internet? HAHAHAHAHAHAHAHAHAHA!
Dude, not only that I run businesses and make shit loads of money and have experience in all that, but I also am textbook correct. Every argument presented here is wrong in a way or another, and you think just because a bunch of uneducated animals, bots and teenagers say “I’m wrong” it’s gonna make me wrong? HAHAHAHAHAHAHAHAHAHAHA!
But for what it’s worth, I am enjoying something. I’m enjoying noticing why everyone is broke and poor. It’s because people are ignorant, stupid, dependent, brainwashed and don’t want to work and insist on handouts. Good! So, go fuck yourself again and make me laugh more.
Don’t forget to cry more and ask for help from your masters who despise you. I hope the government shuts down and you starve on the streets. That’s the least you deserve. HAHAHAHAHAHA!
And then everybody clapped!
😂
Wow you are really a shitty person. You will be blocked after this message, so good riddance you misanthropic garbage bastard.
FYI there’s no chance of me starving because I’m quite well off, with savings to live on for a year if I lost my job, plus I make more than double the amount of money I need to support my family. I own my own house and numerous acres of land. Even if I had no money at all I could still hunt and fish on my property, so I’m ready for anything.
Good riddance. Bye! Don’t forget to fuck yourself on the way out. Dumb or evil, I don’t care anymore.
Call me names, then cry when I tell you what you deserve. I’m happy now. You got what you deserved.
yeah no but thanks for trying.