(MENAFN– Al-Bayan)
A recent study revealed that nearly three-quarters of citizens in Germany are worried about a possible economic downturn and adjust their buying behavior accordingly.
According to a survey conducted by YouGov, commissioned by management consulting firm Zemun-Kucher & Co., most Germans plan to limit spending on new clothes by 58%, holidays by 55% and leisure activities. by 52% in the event of a recession, as declared by 49%. Of the 2,035 people interviewed, they intend to reduce their visits to restaurants.
Energy and food prices in particular have increased dramatically in recent months and, according to preliminary official data, consumer prices in Germany rose 10.4% last month year-over-year, the highest in almost 70 years.
In the survey, 60% of Germans said they wanted to reduce their spending and consumption in the face of rising prices.
Andreas von Gatten, president of Zemun-Kucher & Partners, said: “The possibility of raising prices for everyday products is wide, but many consumers have already set a fixed budget for their weekly shopping, which they cannot afford to ignore. They are forced to save, so they resort to cheaper alternatives ”.
According to the survey, companies are also preparing for the recession, with 60% of the 520 companies surveyed saying they have at least partially developed a strategy to counter the economic downturn, while 33% of companies say they have not prepared.
Goods could become more expensive for customers in the future, as the survey showed that 32% of businesses intend to raise prices in the event of a recession.
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