|Resource Types||Insight, Report|
|Covid-19 Framework||Resilience Models, Business Models|
Traditional solutions are proving increasingly ineffective. Many retail and consumer goods companies have flourished in recent decades, helped by underlying structural demand growth, globalization, and industry consolidation. As revenues have grown, unsurprisingly so too have costs. More surprising perhaps is the fact that operating costs (excluding cost of goods sold) as a percentage of sales have increased over the last five years (2014 to 2019), both for retailers and consumer goods companies. Looking at the evolution by company tiers it becomes apparent that some seem to have found a substantially better way to keep their operating costs under control than many others.