Fedecámaras: Venezuelan businesses sell merchandise below its cost to be able to meet year-end commitments

Fedecámaras: Venezuelan businesses sell merchandise below its cost to be able to meet year-end commitments

Fedecamaras: Empresarios venden mercancía por debajo del costo para poder atender compromisos de fin de año

 

 

For the country’s businessmen affiliated with Fedecámaras (Federation of Chambers of Commerce), expectations for the end of the year are very conservative based on what they have seen throughout 2023 as stated in Margarita Island by Tiziana Polesel, First Vice President of the national business leadership board.





By Dexcy Guédez//La Patilla Correspondent

She insisted that when there are problems with fuel, electricity and other services, and when they still do not have access to credit, it is evident that all of this has an impact on trade and sales.

“There is something important to note, and that is that given the recovery that we observed the previous year, we committed to purchasing and inventory that has not come out in the expected time and, of course, that is why so many we see discounts in most of the retail outlets and large chain stores, that is why we see these options that in the market,” said the business leader.

She assured that they are even seeing products that are being marketed below cost, because there is a need for cash to cover the commitments that companies have at the end of the year.

“They are even selling products below cost because they do not have access to credit, they have no possibility of having liquidity in any other way,” Polesel insisted.

She explained that these are alternatives that businessmen can use but only for a very short period of time, because if they prolong them, what this will generate is bankruptcy and decapitalization.

She reiterated that this is what they are observing as an extreme coping mechanism for the end of the year in terms of prices and in terms of commercial movement.