The current situation, when the prices of practically everything are constantly increasing, is not easy not only for the general public, but also for entrepreneurs. They are often unable to transfer the increased costs of their inputs into the prices of final products, and thus run into problems.
Even the employees did not wait for the end
This is exactly the case with one of the most traditional and popular confectioneries in the Czech Republic, the Emil Gaigher Confectionery from Písek, which had several branches across the Czech Republic. That clearly ended, and not in a very nice way. As reported by the Písecké observation weekly, the company suddenly went into liquidation and gave immediate notice to its employees.
It is said that the female employees had no idea that something was not right with the company until the last moment. That’s why this announcement was a shock for them, because they often worked in the confectionery for thirty years. The same can be said about the reactions of the customers themselves. They have been coming to this pastry shop for cakes often for generations. After all, Emil Gaigher founded his confectionery already in 1924.
It is true that the confectionery business has been greatly affected by the current price hike. Not only the prices of the raw materials themselves, but also the energy needed for production, and last but not least, also the salaries of the workers, although they are not among the highest in the confectionery industry, were rising rapidly.
The competition is quickly driving up prices
Customers can generally observe this in a very rapid increase in prices in confectionery. For example, one of the largest confectioneries in the country, Ovocný svetozor, has increased its price several times since the beginning of this year. Today you can’t buy a cake there for less than a hundred crowns. At the same time, it is expected that prices will increase quite significantly.
Emil Geigher patisserie followed a somewhat different path in this regard. On the other hand, some customers on social networks were surprised by the fact that the cakes are cheap and did not understand why the owners did not try to increase the price first before closing. Others pointed to the not-so-thought-out opening hours, when many places were closed on the weekend, when sales could be the highest.
Some experts point to the fact that a large wave of failures of various businesses in the food industry is yet to come. The current situation is unprecedented.
Foto: Shutterstock
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