Topic: How to reduce the price of goods (Read 1610 times)

That's what oligarchy means. There is no competition, therefore that they all have the right to increase the prices of their products.
Whether they're based locally or internationally, if they want to increase the price, they're all free to do that. That's why in the markets, we all need to see competition because it helps us to have freedom to choose and that also sends down the prices.

In Nigeria, our main problem in price fluctuations is lack of  price regulations agencies. Why will a country that is operating on socialism and capitalism and then someone who is not in his right sense jump out of his bed and then just feel to increase the price of goods and when others find out that there is increment, they jump into the trend without finding out the reason why and this why price of goods are jumping up the way they like, we need this price regulations except the government want to wake up one day and see that the Naira value will be reading hyper inflation.

I'm not sure for some other countries but in US, the expected number of inflation for the month of October was released last week and it was lower than expected and by that, price of items is going to reduce, even if its not that instantly, it will with time but there is one problem of inflation in nigeria. When the price of goods should go up, it doesn't come down again even if the government looks for a solution to protect people, they will never drop that price below, always citing that they have old stock and they will not sell at lower price. Can you imagine that audacity?

Reducing pirates of goods is a sweet dream. In our country if our goods price increase there is no chance to decrease. The government increase price of goods and there is a low supply of the item. But after getting proper supply they forget the old place of the items. There is no chance and nothing to do for reduced of goods price because everything control from government.

someone who controls everything and has no competitors will make prices unreasonable and there will be no development, because there are no competitors the products that will be made will be the same forever, you can see countries like China, USA, Korea, they always innovate because they have competitors tight.
Sometimes the enemy can become a supporter to progress to become better.

If there is only 1 distributor and others are not allowed, then the only way is to do a demo of it, because there will be no competition and the owner will make whatever price he wants because there is no competition.

  The current inflation is as a result of how the country's economy is, where just one man makes and distributes a good or a service. Now in this scenario, there's no other means to go about acquiring this good or service so the whole country has to turn to this one man. The man has every right to do whatsoever he likes with the product because he doesn't have any fear. He can increase the price or even make it unavailable to consumers. This is more like holding us to ransome.
   In situations where there are many distributors of the same product, competition will set in and everyone will make their price stable depending on the economy because at that point, no one wants to loose his or her customer. This way, the economy will grow because business is taking place daily and there'll be competition too which makes for a more appropriate price of goods and service.

I think I only see 3 reasons why it is like that: inflation rates, hoarding of the prices of their goods there, or hyperinflation. It will really have a big impact that is not good for all the people there in the country of Nigeria.

That's why the people there really have no other choice but to find a way to survive the crisis they are currently facing. I know that the situation in Nigeria today is not easy.

Amid the growing economic strain of the pandemic, the prices of daily essentials have risen and are continuing to rise in markets in low-income countries. Officially, different steps can be taken in different countries. Most of the time, US dollars are used for buying goods in the international market. Due to the increase in the value of the dollar, there is a dollar crisis in low-income countries, so the government has to take steps to reduce the price of goods. Even if the price of the product does not increase in the international market, due to the shortage of shipping containers, the importers have to pay more fares, the price of the fruit products is increasing, so necessary steps should be taken. Internal problems such as poor transport system and extortion, where the prices of domestically produced goods are rising in the market, government action should be taken. Another big problem is the syndicate. It is possible to control the increase in the price of goods through the proper supervision of the government by interfering in the artificial increase in the prices of various quarters. On the one hand, the global supply is less and on the other hand, the price of fuel increases, the government should stand by the people by subsidizing essential products. Then most of the product prices can be brought under control.

The Government to be fully involved so that any law enacted will be enforced accordingly, for the price of good to be reduced, there are so many things in which the government have to consider for this to be a success,
The government has to order banks to give loan to food production companies that are in need of it, there should be constant electricity, this will help this companies to function very well without sourcing for alternative sources of electricity which might cost them more expenses, domestic gas, pms and diesel should be available, accessible and affordable for the production firms that need any of them to function, locally raw materials that's is used by this companies should always be made available so that production will be enough to satisfy human consumption, with this step I think production will be enough and more companies will produce more, give license to many production firms to produce different and same goods in other to maintain monopolistic competition.

Nigerians have been grabbing with the rise in prices of essential goods and services for almost a year now. The increase in transportation costs, including fuel prices, has also had a domino effect. The Nigerian food prize is the highest in 17 years. While the global rise in food prices is attributed to COVID and the ongoing Russia-Ukraine war, In Nigeria, it is also due to bad roads, supply chain glitches, and flooding due to climate change. The government intervention is inadequate, and fertilizer costs are too high. This cost of food items is astronomically high and is affecting the living costs of Nigerians.

No you're wrong, there's a reason for the skyrocketing of the food and clothing during this coming months and you've said it already which is the nearing of the festive period and if you elaborated on that part, you would understand that during the festive seasons, people are buying gifts and other stuff to celebrate a lot of holidays which is going to be a lot of demands which as we all know is going to increase the price of products. One thing that I know that can reduce the price of goods is deflation which is the opposite of inflation and it's not a good sign too because that could mean there's no growth in the economy which I think is also bad for the country.

Of course there's other ways to solve this issue but it's going to be difficult because reduction in prices of basic goods or even the general stuff would mean that you're going to cut down the prices you're paying the producers which they're not going to like the idea because then they will be the one that's shouldering the brunt of expenses in production which is going to get bigger because they're getting little profit and the raw materials are not getting cheaper.

One thing I know about developing countries is that it's always difficult to do business there as a start-up. With the high cost of living and high cost of production, small businesses can't survive, allowing big businesses to monopolize the market. And since they've monopolized the market, they get to sell at whatever price they want.
Even if a few businesses try to survive, they can't offer better prices because they won't be able to compete if they don't increase prices because of the high cost of production.

So what the government needs to do is support small businesses. This is a way would be like subsidizing prices because when there is competition, the price would be moderated.

Also, I just checked and Nigeria has an inflation rate of about 25%. That is a pretty high figure. So aside from the monopoly, the price of goods is going to be high in a system like that.
The currency has depreciated, so for businesses to make any money, they have to increase the prices of their commodity.

The price regulatory agency in Nigeria is not functional.  Yea, I am not ignorant of the fact that the cost of getting raw materials for production are high, coupled with other factors that might give rise to increase in prices of goods and services but I have seen cases where traders deliberately hoard their goods and cause artificial scarcity. With this, they are sure of increasing the prices of their products because they know people will buy at all costs because they don't have other options.

The festive period is near. Just as it has always been every year, the prices of clothings and foodstuffs will skyrocket for no reason and the regulatory agencies are quite about it. If these agency was actually functional,  illegal hoarding and artificial scarcity will stop. The prices will be stable to some extent.

We can reduce the price of particular goods by allowing and motivating different production companies to produce those goods in large quantities, there should be a price regulatory agency, their function should be felt, and their duty should be effective, a country like Nigeria doesn't is affected today by the high price of good goods because if lack of production and high cost of production and logistics, the food industry is not adequately handled, we keep on hearing we are going to do this or that all are in vain, in our locality people are ready to contribute their quota but the discouragement from the Government and private sector has made it almost impossible to achieve this mile stone. 

Yes, actually there is no other way to reduce the price of the goods if there are only a few goods providers, therefore business competition is also one way for prices to be able to compete so that consumers buy.
Yes bringing in private private companies is also one of the good actions to increase the production of goods, so that the supply of goods will be able to reduce market prices, but it will be difficult if the government makes it difficult for foreign entrepreneurs in doing business in the country, and I think because local companies already have Affiliates with the local government, so that the local company conducts monopoly is also not concerned about the government, so it will be very cruel that the local entrepreneurs to pressure the government to complicate foreign entrepreneurs who want to compete with them.

The government must be responsible for this, they must issue policies to be able to control the price of goods to remain stable so that people do not have difficulty in getting their needs, if the government cannot control this, they have truly committed a crime against their people because they do not care about their people who are in trouble. In meeting the needs of the community, they have to work hard to get their needs, while the government only thinks about itself and its family.

And i could say that this is some sort of problem that cant really be that easily be resolved due to several factors on which we know that it would really be just that depending on the government and on how its been handled but there are really situations or stuffs that government couldnt really be able to make such act or involvement considering that not all good prices would really be just basing on being monopolized
which we know that there are really goods which are really that being imported due to lack of supply. Tending to create such industry on increasing the supply? Yes its possible its not something that
would really be that cheap and does really need up that budget and it would really be totally be depending on what are the actions would really be taken by the government in correlation to this.

I am not very informed on how things work in Nigeria or other countries of Africa, though if anything you are implying is factual, then I would not be surprised if there is an increase in the price of food in your country.
In my personal point of view, the best way to decrease the price of food and other vital goods is to boost the production of those goods through the invitation of several companies or industries to produce within the country.
There will be people who is not in the favor of the private sector having the power of such important industry like the food industry is. That was the case in my country, the government tried to have the monopoly of the food production but in the end did not tried to eliminate the private sector completely.

Either you are in for private sector or for a strong government, the key word is production and efficiency.

It is imperative for the government to take action to eliminate the prevailing market monopoly. This would undoubtedly alleviate the suffering of the populace, as the pricing dynamics become less competitive. Monopoly not only drives prices higher than they should be but also compromises the quality of products, resulting in goods circulating in the market that appear overpriced yet lack in quality.

If the government fails to safeguard emerging competitors, the monopolizing entities will persist in their attacks against new entrants. This, unequivocally, disrupts the market equilibrium and ultimately harms the well-being of the community.

The government bears a significant responsibility for market monopolies. Every citizen has the right to offer their products, fostering healthy competition among goods and services. This not only fuels economic growth but also enhances the welfare of the people, as trade competition yields the best products at more reasonable prices.

One of the major problems of Nigeria is corruption and if that do not stop, things might get worse with time. The government had no plan to help her citizens and that have brought a great delema to the price of food and other products. The Nigerian currency is falling almost everyday to dollar and this is making the price of goods to become expensive making the locals and employees that are not earning enough to suffer. There are problems that needed to be resolved by the government herself especially corruption to live easy for people.