When companies’ input costs go up for some reason, the prices they charge their customers go up like a rocket.
The example most of us can relate to is the retail price of gasoline.
At least in the feather scenario, retail prices do go down.
Rines said he coined the term “price over volume” in June 2022 to describe how companies were fighting higher costs at the time.
“If you’re profit-maximizing you’re going to do that and you should do that,” he told me.
Persons:
Samuel Rines, Rines, ”
Organizations:
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Locations:
U.S, Houston