Bloo Loo Posted February 25, 2011 Share Posted February 25, 2011 And the key to writing this sort of drivel is healthy amounts of crack cocaine? im being squeezed on me margins Quote Link to comment Share on other sites More sharing options...
TwoWolves Posted February 25, 2011 Share Posted February 25, 2011 (edited) I suppose that Chinese manufacturers are seeing the same kind of inflation in their raw material costs. So given that they are operating on far smaller margins I wonder how that will effect the Chinese economic miracle? One must remember that these goods have an average 4-6 months lead time on our markets so we won't see the results on their products until around July. I do think this is part of the FED strategy, albeit a dangerous one with some quite unpleasant side-effects however it will eventually blow itself out as the CO2 of commodity inflation snuffs out consumer demand. ---- I'd also add that I suspect the Chinese foresaw this strategy and that's why they started stock-piling materials, to give them the edge during this period. Edited February 25, 2011 by TwoWolves Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted February 25, 2011 Share Posted February 25, 2011 In case you missed it, this was from the CBI's press release yesterday re its quarterly Distributive Trades survey: At the same time price inflation on the high street has risen considerably in February, with 77% of retailers saying that average selling prices rose on a year ago, and 4% saying they fell. That gives a balance of +73%, the highest since 1991, up from +45% in November (this question is quarterly). Prices are expected to rise at a similar pace in March (+74%). Quote Link to comment Share on other sites More sharing options...
billybong Posted February 25, 2011 Share Posted February 25, 2011 (edited) Who is bidding against him and where are they getting the money from? Good questions. I'll bet a lot of people would like to know the answers including me. The CEO didn't say. Edited February 25, 2011 by billybong Quote Link to comment Share on other sites More sharing options...
Sledgehead Posted February 25, 2011 Share Posted February 25, 2011 (edited) I'd love to follow Bart Becht around for a day to see what he actually does that's worth a quarter of a million quid. Also Nurofen is a total con, the active ingredient is ibuprofen which was invented in the 1960s and has been off patent for donkey's years. That's why you can buy the generic version for 28p for 16 tablets in supermarkets. When people pay £3.50 for 16 tablets of Nurofen, they are paying £3 for clever marketing. From Wikipedia: But that's just it. Simon Cowell pulls the same sh!t with the stage fodder he presents to the world. Remeber, it's not what you can do, it's how much you can make from it. The more useless the product the more value you have to add to get folks to pay a premium for it. Using this logic you can see why people have rated the Pope for so long, and conversely, why they are so negative about researchers surviving on minimum wage. Edited February 25, 2011 by Sledgehead Quote Link to comment Share on other sites More sharing options...
thecrashingisles Posted February 25, 2011 Share Posted February 25, 2011 I can't believe Britvic orange juice is influenced by the price of oranges. Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted February 25, 2011 Share Posted February 25, 2011 I can't believe Britvic orange juice is influenced by the price of oranges. Asda built their whole Christmas advert around a Spanish chap supplying them with oranges. No wonder Sainsburys picked up market share. Quote Link to comment Share on other sites More sharing options...
OnlyMe Posted February 25, 2011 Author Share Posted February 25, 2011 If he's seeing unprecedented inflation in raw materials (he said for example a 20% increase in one month in PET) he's likely concerned about possible carnage in his sector caused by Mervyn King's Nero inflationary stance as in stagflation more and more people will be really hunting hard for real value and that currently isn't with the UK mainstream, far from it, it's more likely to be with Lidl and suchlike. So far as Britvic's concerned there are plenty of cheaper brands compared to the Britvic brands. You bet. Should think that a fair amount of their sales are through the pub and restaurant trade where soft drinks are already a rip off. More business away from the pubs and more tothe off license / supermarkets or cheapest of all the well run, low profile, low cost base german outlets. Quote Link to comment Share on other sites More sharing options...
SomethingHasToGive Posted February 25, 2011 Share Posted February 25, 2011 Also Nurofen is a total con, the active ingredient is ibuprofen which was invented in the 1960s and has been off patent for donkey's years. That's why you can buy the generic version for 28p for 16 tablets in supermarkets. When people pay £3.50 for 16 tablets of Nurofen, they are paying £3 for clever marketing. Ironically for many people Nurofen works better than the generic because of the placebo effect of you believing that it is better than the generic one because it costs more and is marketed. However if you believe what I just said ( or that it is a total con as Dorkins said ) it means you'll don't get any of the additional placebo effect of Nurofen so it is a total con. Quote Link to comment Share on other sites More sharing options...
Jack's Creation Posted February 25, 2011 Share Posted February 25, 2011 Not inflation: it is Cost Base price Increase. The key to real monetary inflation is wage and salary rises. Quote Link to comment Share on other sites More sharing options...
miko Posted February 25, 2011 Share Posted February 25, 2011 Food UP Petrol UP Rail fares UP Insurance UP Energy UP Water UP VAT UP All the essentials UP and wages are if anything going DOWN We are heading for a train crash in our economy and they know there is no way out. Quote Link to comment Share on other sites More sharing options...
Dorkins Posted February 25, 2011 Share Posted February 25, 2011 Ironically for many people Nurofen works better than the generic because of the placebo effect of you believing that it is better than the generic one because it costs more and is marketed. However if you believe what I just said ( or that it is a total con as Dorkins said ) it means you'll don't get any of the additional placebo effect of Nurofen so it is a total con. Moneysaving tip: if you have a sick relative who is easily influenced by advertising, get an old Nurofen cardboard box and put the Sainsbury's ibuprofen blister pack inside. Brand name placebo effects at generic prices! <HUGZ> Quote Link to comment Share on other sites More sharing options...
longtomsilver Posted February 25, 2011 Share Posted February 25, 2011 All those companies haven't issue profit warnings some have just been mentioned for other reasons. Thanks for these numbers Redhat Sly it really does dot the i's and cross the t's. Quote Link to comment Share on other sites More sharing options...
tomandlu Posted February 25, 2011 Share Posted February 25, 2011 Ironically for many people Nurofen works better than the generic because of the placebo effect of you believing that it is better than the generic one because it costs more and is marketed. However if you believe what I just said ( or that it is a total con as Dorkins said ) it means you'll don't get any of the additional placebo effect of Nurofen so it is a total con. Oddly, placebos work even when the user knows it's a placebo... (iirc) Humans are weird. Quote Link to comment Share on other sites More sharing options...
Jack's Creation Posted February 25, 2011 Share Posted February 25, 2011 The CEO of Britivic had better start looking for a location where inflation is not going to be actively persued as a goal then. http://www.independent.co.uk/news/business/news/inflation-unprecedented-says-britvic-2225076.html Inflation 'unprecedented' says Britvic By Nikhil Kumar Friday, 25 February 2011 The chief executive of the drinks group Britvic added to the increasing concern about rising prices last night when he said that he had never before seen such big increases in the cost of raw materials in such a short period of time. The company, whose portfolio of brands includes Robinsons and Tango, said the pace of price rises in recent weeks had been "unprecedented", so much so that has now almost doubled its estimate of input-cost inflation for the UK and Ireland to 9-11 per cent, against 5-6 per cent previously. Anecdotal- a friend who runs a small hotel group told me their food input costs for january alone saw an 18% increase. We won't get the full picture till the end of the 1st quarter. Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted February 25, 2011 Share Posted February 25, 2011 Thanks for these numbers Redhat Sly it really does dot the i's and cross the t's. It doesn't really dot the i's and cross the t's because most of what I have listed is "remuneration". If you look at such as Reckitt & Benckier's Bart Becht it's the share options that make the real money. FTSE bosses own massive amounts of shares, could that be why the remuneration excesses are voted through even though private shareholders often vote against them? Quote Link to comment Share on other sites More sharing options...
leicestersq Posted February 25, 2011 Share Posted February 25, 2011 Good Post and shocking reading. We are being shafted left right and centre but yet people are still living in fantasy land (watching drivel on TV and dreaming that they cr@p 2-up-2-down hasn't lost anything in value) As I said on a post yesterday, my bro went for a job interview for a 6 month contract with RBS - IT project management. The rate was @ 800 per day. And we own that crock of sh1t. I'd prefer to cut out the middle man and just give my hard earned cash straight to my brother! I agree, it was a good post. Normally I think we should leave the free Market alone, but something has gone wrong with it here. I have said before that the underlying problem is that shareholder votes have been stolen by institutions, and are misused to allow this sort of theft from shareholders. A rule change is needed so that only the beneficial holders of shares can vote on them. That would mean that small shareholders are no longer outvoted by a mate of a director wielding millions of votes in someone else's pension fund. Apart from that, we will need a revolution. No point in supporting a regime that supports the few who steal from the many. Quote Link to comment Share on other sites More sharing options...
okaycuckoo Posted February 25, 2011 Share Posted February 25, 2011 No this is wrong. Monetary inflation is an increase in the supply of money. It can continue irespective of wages. But this isn't inflation - it's speculation, and will collapse. Quote Link to comment Share on other sites More sharing options...
winkie Posted February 25, 2011 Share Posted February 25, 2011 Moneysaving tip: if you have a sick relative who is easily influenced by advertising, get an old Nurofen cardboard box and put the Sainsbury's ibuprofen blister pack inside. Brand name placebo effects at generic prices! <HUGZ> ...I am giving myself a new and exciting challenge...I am giving up brand names and will try to source the best nameless alternative that I can..... Quote Link to comment Share on other sites More sharing options...
Sour Mash Posted February 25, 2011 Share Posted February 25, 2011 But this isn't inflation - it's speculation, and will collapse. Not if the authorities keep with ZIRP and money printing - and they will. When you consider all the new money that has been QuEased into the economy to allow the banks to rebuild their capital bases, we're sitting atop a pile of highly inflammable inflationary material just waiting for the spark to light it. That we should be seeing such large price increases already, even as we should be seeing deflation against the backdrop of a limping economy, should be a honking great warning signal. Quote Link to comment Share on other sites More sharing options...
Lepista Posted February 25, 2011 Share Posted February 25, 2011 Oddly, placebos work even when the user knows it's a placebo... (iirc) Humans are weird. Quote Link to comment Share on other sites More sharing options...
OnlyMe Posted February 25, 2011 Author Share Posted February 25, 2011 (edited) Anecdotal- a friend who runs a small hotel group told me their food input costs for january alone saw an 18% increase. We won't get the full picture till the end of the 1st quarter. Well, as long as the staff don't ask for any more money nothing else matters - heck the gas, water, electricity, insurances, rents, rates, services, equipment, repairs, inspections, certificates, the whole damn full nine yeards can all go up, but it won't matter. It is all about inflation expectatiosn you see, apparently and wages. Edited February 25, 2011 by OnlyMe Quote Link to comment Share on other sites More sharing options...
Self Employed Youth Posted February 25, 2011 Share Posted February 25, 2011 The main problem we have at the moment is that most people are idiots. Lol at the youth on mobility scooters. I'm seriously considering getting one, I'll beat the bus to work and it will be cheaper. I'm priced out of car ownership due to insurance costs, you see. It's a little bit safer than cycling aswell, and you can get away with riding on the pavements. Quote Link to comment Share on other sites More sharing options...
Prescience Posted February 25, 2011 Share Posted February 25, 2011 And the key to writing this sort of drivel is healthy amounts of crack cocaine? Ah: so you are an expert on Economics theory as well as Motivational Psychology and Behavioural Science too then. Impressive: where did you read your multitude of doctorates? Quote Link to comment Share on other sites More sharing options...
200p Posted February 25, 2011 Share Posted February 25, 2011 Wake me up when we have "unprecedented" deflation. Oh and did any of you ever have a "father to son talk" about the merits of gold? Surnames ending in -schild need not apply. Quote Link to comment Share on other sites More sharing options...
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