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When Costs Are Dropping, Should Your Prices Follow?

February 6, 2015

It never fails, does it? You finally pushed those price increases through — to reflect the fact that your input costs have been going up dramatically — and the market takes another turn. Input costs are now speeding in the opposite direction and your customers are expecting — or rather, demanding — price decreases. On top of that, overall demand has softened.


If you are not in a highly-differentiated space with limited competition, you know that you will have a competitive fight on your hands. If you do not drop your prices, you risk losing critical volume to competitors who will. This whitepaper digs into thee critical considerations and impacts of responding to cost drops via prices in the market. 

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