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No More Chips At Loblaws Over Price Dispute With Fritolay

K Douglas

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Jenesis

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Just another victim of inflation, shipping disruption, and labor shortages. Those additional costs have to be paid for by someone. Each step along the supply chain usually absorbs some of the cost in the short-term, but it eventually ends up trickling down to the consumer. Loblaws balked for now, but this is a wider spread issue than just chips.
The point is that the high price is much higher then the rate of inflation. That is what they are fighting against. A normal price increase is understandable but you raise the price higher then your new expense cost, that is just getting greedy.
 

GameBoy27

Well-known member
Nov 23, 2004
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Russia invades Ukraine, now this?

I don't eat chips so it won't affect me.
 

Brill

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Jun 29, 2008
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Toronto
People don’t shop at Loblaws for value or low prices so it’s odd to see them fighting to hold the line on a nonessential item.
Nobody will demand they resolve the dispute or cheer on either side.
 

Velvets

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Jan 17, 2017
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Have you seen the price of gas ?
minimum wage has gone up multiple times in the last year
The price of everything is going up.
Loblaws is fighting the price increase because they are trying to wield their power in the market. They have rolled out multiple cost reductions against their suppliers every year so it’s bullshit that they are doing it for their customers.
 
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anon1

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Loblaws is fighting the price increase because they are trying to wield their power in the market. They have rolled out multiple cost reductions against their suppliers every year so it’s bullshit that they are doing it for their customers.
Straight out of the Walmart playbook.
 

Ceiling Cat

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Feb 25, 2009
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I think Galen and the Frito boys cooked up the whole story to benefit both parties. Loblaw benefits by justifying higher prices on every item in the store, Frito benefits by raising their prices. In the end Loblaw will say that there is a huge demand for Frito Lays produces so they have to give in and stock them. Free publicity for Frito and they get to sell their products at a higher price.
 
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rhuarc29

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Apr 15, 2009
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The point is that the high price is much higher then the rate of inflation. That is what they are fighting against. A normal price increase is understandable but you raise the price higher then your new expense cost, that is just getting greedy.
Depends. Have they been eating costs for a period of time leading up to this bigger increase, which has caused their profit margin to shrink? What factors are being included in the cost increase (increased ingredient costs, transportation costs, labor costs and overhead costs)? Companies make profit by marking up these costs in order to have margin. Unless Frito suddenly decided to increase their profit margin to a higher percentage of revenue, and this would be a weird time to do it, I don't see what they've done wrong. If they do nothing, they'll eventually eat costs into oblivion.
 

John Wick

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Oct 25, 2019
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In 2022, they should be making potato chips out of synthetic potatoes so they can grow them in a lab environment and cut the farmer right out of the supply chain to dramatically reduce manufacturing overhead, and by extension, cost to the end consumer.

Mmmmm....plastic potato chips. You could chew them indefinitely for that oh so satisfying crunch, and reuse them for each and every sporting event or social gathering after just a quick rinse in disinfectant.
 
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K Douglas

Half Man Half Amazing
Jan 5, 2005
27,909
8,705
113
Room 112

K Douglas

Half Man Half Amazing
Jan 5, 2005
27,909
8,705
113
Room 112

K Douglas

Half Man Half Amazing
Jan 5, 2005
27,909
8,705
113
Room 112
I think Galen and the Frito boys cooked up the whole story to benefit both parties. Loblaw benefits by justifying higher prices on every item in the store, Frito benefits by raising their prices. In the end Loblaw will say that there is a huge demand for Frito Lays produces so they have to give in and stock them. Free publicity for Frito and they get to sell their products at a higher price.
Not out of the realm of possibility at all. Soy boy Galen is a shyster.
 
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