Recession Pricing

Article archives from the Pricing Pricing Society

Inflation and Recession: The Commercial Impact

Did you find the last two year’s negotiations tough? Then brace yourself for the next round. So far, the direction has been clear: prices needed to increase to absorb the costs of disruptions in global supply chains. Guarantee of supply was the most important value-driver for many customers, which meant that sellers could successfully pass on their cost increases. However, as a second wave of cost increases has hit the markets in the form of rising energy costs, and as consumers are demanding higher wages as a result, a wage-price spiral is beginning to take shape. This means high inflation rates will be with us for some time and companies should prepare their commercial strategy accordingly.

By |2022-11-25T14:30:08+00:00November 30, 2022|Inflation Pricing, Pricing Articles, Recession Pricing|0 Comments

What Happens to Pricing When Demand Falls?

Over the last three months, we’ve begun to see revenues rise and demand flatten as the pricing decisions made a year and a half ago work their way down to customers. How can companies manage rising inflation and a shortfall in goods without experiencing degradation in margins or revenue (especially when products can’t be produced due to commodity shortages)? We recently met with pricing executives from around the globe to discuss pricing strategies in light of current inflation and the looming threat of recession. Here are six key takeaways from those discussions.

By |2022-11-07T23:00:14+00:00October 31, 2022|Inflation Pricing, Pricing Articles, Recession Pricing|0 Comments

Something’s coming: How US companies can build resilience, survive a downturn, and thrive in the next cycle

The U.S. economy continues to throw off mixed signals. But one thing is becoming clear: executives should prepare for an extended period of higher interest rates. This article was originally published on September 16th, 2022. This article represents views from McKinsey’s Risk and Resilience Practice, Strategy and Corporate Finance Practice, and McKinsey Transformation.

By |2022-11-07T22:58:58+00:00October 31, 2022|Inflation Pricing, Pricing Articles, Recession Pricing|0 Comments
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