An important reseller of a large car brand needs to sell at least 70 units a month to avoid losing
An important reseller of a large car brand needs to sell about 70 units a month to avoid the loss. This month, I was lucky to get 42, says a survey.
Meanwhile, one of the leading chains of home appliances is recalculating prices over the past four months. At the beginning of each period, it tries to transfer part of the impact of the strong dollar rise (100%) so far this year.
In the middle of the month, offers should be increased to recover sales in the face of a market that has shrunk significantly and does not allow retaliation in the short term for the recovery of the margins.
Just over a year ago, the Argentines traveled in caravans to Chile to buy televisions at a price between 40 and 50% cheaper than in Argentina. Now, sellers say, these TVs are cheaper than there. They sold very well during the World Cup in Russia but stocks were loaded and with the current high interest rate no player in the chain can afford to sell without making rebates.
A prestigious automotive brand is offering a SUV model at a dollar price very similar to that of Miami ($ 800,000).
The sharp devaluation of the peso has reached the purchasing power of wages but, at the same time, has collapsed the dollar prices of many products that the wealthy middle class consumes that now, too, would be feeling the "wealth effect" felt by the dollar holders after the currency's rise, Clarín says.
The calm of the Argentine exchange rate takes only six weeks, but along with the high rates, it pressures companies to moderate prices in order to be able to sell and reduce inventories.
To this financial tightening we must add the political fact that implies that the government managed to approve the 2019 budget with all that it implied in terms of negotiation and support of the Peronist governors.
Having achieved some currency stability, it also opened the door for the Government to advance with the $ 5,000 bonus in two installments for the end of the year and the advancement of the bonus and bonus to the state.
The adjustment that led to the devaluation and which is currently driving the peso scarcity and high rates should give results soon reducing the inflation that this year gallops over 45% and exceed the entire population.
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