this post was submitted on 24 Mar 2025
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Economics

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Summary

U.S. retailers like Walmart and Target are negotiating with suppliers over price hikes caused by Trump’s tariffs on imports, including aluminum and Chinese goods.

Suppliers face increased costs but struggle to pass them on, fearing product removal from shelves. Walmart and Target resist raising prices, wary of losing customers.

Some manufacturers, like Nordic Ware and Bogg Bag, explore cost-cutting measures or alternative production sites.

Loss leading is common as suppliers absorb costs to stay competitive, while others negotiate shared burdens to minimize price increases.

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[–] Skyrmir@lemmy.world 9 points 1 week ago* (last edited 1 week ago) (2 children)

Fuck that, raise the damn price. Making cuts now will only hurt your business more over time. Never let a distributor control so much of your business that you can't drop them.

And I should add, especially don't ever let fucking Walmart be enough of your business to change your decisions. They will absolutely extort you into bankruptcy. You're better off just selling the company and running away.

[–] surewhynotlem@lemmy.world 2 points 1 week ago (1 children)

Easier said than done. Walmart and Amazon control the majority of demand.

[–] Skyrmir@lemmy.world 2 points 1 week ago

Totally agree, and it's a major problem for every business that works with them, as well as the entire market that buys from them.

[–] chuckleslord@lemmy.world 2 points 1 week ago

Rubbermaid, and that was two decades ago.