Reply #56: Where in the world did you take economics? Do no businesses or industries ever

[mbperrin]

cease to exist? Of course they do. Businesses frequently lose money, sometimes for years on end; some survive by adapting, some don't.

Raising prices when you're losing money is the surest way to oblivion.

When raw materials go up, use a substitute. Change the design. Change products entirely. Fire employees and speed up those remaining. Other options.

Consumers are only going to pay so much for any particular product; when the price crosses that industry-wide and persists, that industry ceases to exist.

For instance, who gets milk in glass bottles any more? Is it because glass is bad? Nope. Costs of handling exceeded plastic one time use jugs. So - out with glass, in with plastic. You can think of many more, I know.