Wal-Mart CEO Bill Simon: "Inflation is Going to be Serious"

Saturday, April 02, 2011 , , , , 5 Comments

h/t WC Varones

USA Today

U.S. consumers face "serious" inflation in the months ahead for clothing, food and other products, the head of Wal-Mart's U.S. operations warned Wednesday.

The world's largest retailer is working with suppliers to minimize the effect of cost increases and believes its low-cost business model will position it better than its competitors.

Still, inflation is "going to be serious," Wal-Mart U.S. CEO Bill Simon said during a meeting with USA TODAY's editorial board. "We're seeing cost increases starting to come through at a pretty rapid rate."

It isn't going to be fun but since we know it's coming, what can we do to prepare?

My strategy has been to spend 'em as soon as I get 'em and I've taken to stocking up on items I know I use a lot that have a decent shelf-life. Absent taking out a loan for a house, a car and a bunch of credit cards, there really isn't much else to be done in an inflationary environment, assuming the increases will be passed on to the consumer in short order.

The reality here is that a lot of these price increases should have been and have been passed onto us already (I've mostly given up Starbucks now that my quad black eye runs me $5) and retailers like Wal-mart are in a better position to absorb some of them than, say, Mom and Pop stores. Do any of those actually exist?

Better hope you've got a garden, you'll be wishing you did before too long.

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.


W.C. Varones said...

Plata y plomo, bitchez!!!

MPB-Today has a plan check them out ok

Anonymous said...

Looks like I'll be giving up my expensive PBR habit.

It's your turn to host the crowd, and you need to know what's the cheapest beer? The Chicago Tribunes suggests checking out the local Walgreen's, which has just launched its private-label brew, now selling at many locations for about half a buck a can.

"Walgreen Co. isn't just selling alcohol again. They're also making it.

The Deerfield-based drugstore chain has quietly rolled out a private-label brew called Big Flats 1901, which is in more than 4,600 of the chain's 7,655 U.S. locations. Walgreens has been stocking Chicago-area stores as alcohol licenses are approved.

If the name isn't enough to tempt you, the price might be: about 50 cents per can. Prices will vary by market, and the beer will be available in states where private-label alcohol is legal..."

OldSouth said...

Love your second tag, btw...

My mom-n-pop men's clothing store is awaiting a delayed shipment from a vendor, with the delay becoming very long. I ordered two pair of my favorite blue jeans (to be included in that shipment) and wonder now at what price they will arrive.

Also, monthly fee at my little local golf club just went up 33%--had to be done, given the rise in fuel and other supplies to keep the place maintained.

Here we go. It feels like 1975 all over again.

Hope-n-change, ain't that whut we wuz promised?

BTW--howz about that new war Himself decided to launch us into?

chairmanben said...

why worry, Print Moar, be happy

(uncle Bernanke is here to save the day)