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> There is crisis, big crisis, so big that it doesn't really exist. I'll explain why...

Last Update: 04 August 2019, 23:28

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Today in a Facebook post by a colleague of mine, who was promoting his handicraft products, he was accused of anything and everything.

The most frequent criticism has been this and often made by other colleagues as well.

Screenshot 2019 06 19 1 Santa Yeast Consultant Post - - 1

Let's start by saying. 100,000 lira today is worth 0.

47 euros is 47 euros. Period.

It seems silly and obvious to reiterate it but it is a fundamental concept, still reasoning with the old coinage 20 years later is useless.

The market evolves, society changes, the value of the currency rises and falls. Product prices go up And they will go up steadily, always.

Comparisons cannot be made.

The only thing we can do is to adapt and hope that businesses and the government will do the same.

Coming back to us on the incident and the product talk at 47 euros, it has to be said that 47 euros is little.

No, I have not gone crazy.

If we evaluate quality and rarity of raw materials, effort, time, study behind the product. Not to mention that if it were a business selling only this product there would be Also various taxes and fees to be paid.

47 euros is very little.

Yes I know, you may be thinking:

<>

I won't tell you. I will only reveal it at the end.

Knowing what product it is should not change the concept at all, since every day the talk is more or less repeated for every product category.

Today a craftsman's work must be paid handsomely, and not because he is nice or handsome.

But why a product done right requires resources and expertise few have.

Impossible to find in industrial products or by the "pseudo" professionals who use them.

I don't know how people do the math. In fact they certainly don't do them at all.

The discussion then went on like this....

I do the math-I can guarantee you that most majority of people cannot afford it.

Okay and whose problem is it? The professional who has to expect to get paid so that he can also give work to others and make ends meet or the precarious situation that society silently accepts?

What can I say you want the reason -- take it. I remain of the opinion that 47 euros for a ... is too much.

But do you think I want reason?

Absolutely not Is just a statement of facts and data, among others found online, which testify to how Italian labor is underpaid, and how many companies fail because of unhealthy financial management Of their own company.

It is you who may want to stay with your idea by rejecting the objectivity of the facts.

If it is as you say then they should all be closed.... Here in my neck of the woods we have a famous confectioner--he has 4/5 employees under him and he's flush with money. That's okay.

Lumping all the facts together is always a good strategy....

I am happy for the famous pastry chef and hope he pays his employees well.

But the reality of the facts is quite different.

It's not that professionals charge as much or too much

Quite the opposite.

The vast majority of independent professionals and entrepreneurs, charge little, badly and what little he gets in he cannot handle properly.

To affirm this is not coming from me, Edoardo Guzzi, but. official data and statistics say so.

According to FIPE(Federazione Italiana Pubblici Esercizi). Approximately 18000 businesses close each year and they open just over half of them. You will also find written in the report that most of the closures are Failures due to unhealthy financial management.

https://www.fipe.it/media-pubblicazioni/pubblicazioni-ed-editoriali/item/6283-rapporto-ristorazione-2018.html

The same goes for people in Italy who are in debt to the core (because of the installment and financing fad), I'll give you a couple of official news stories;

Italians increasingly in debt, including for car purchases

Kruk and Ipsos group survey, loans also for home and health care

http://www.ansa.it/canale_motori/notizie/attualita/2018/12/05/italiani-sempre-piu-indebitati-anche-per-lacquisto-dellauto_f3d77d74-af90-4328-87d9-41f9e2306983.html

And lower and lower wages

Salaries, lower in Italy than 10 years ago. Here are who goes up and who goes down in Europe

https://www.ilsole24ore.com/art/mondo/2019-03-26/stipendi-in-italia-sono-piu-bassi-rispetto-10-anni-fa-ecco-chi-sale-e-chi-scende-europa–163649.shtml?uuid=AB8Er6hB

And guess what one of the causes of this situation is?

CRISIS! You will say.

NI..the crisis itself is caused by several factors, and precisely one of them is the one that then affects these situations most in Italy.

To wit.

Come on you can get there if you squeeze your brains a little.

I'll help you. It's quite simple.

Count that average entrepreneurs - maybe if you are you will understand -, can't sell, often not realizing it. They have a kind of inability to do so, focus on production and ignore sales.

And I understand that, I mean, They have always been taught so it is not their fault.

So Entrepreneurs don't do the math well, some of it out of "ignorance" other times aimlessly and don't earn enough.

They get into debt.

To survive They evade taxes and underpay employees and suppliers.

Because of this, often Work drops, because quality and service drops and of course disgruntled customers abandon the sinking ship by going to competitors.

The company goes bankrupt.

The company in evading (often exporting capital abroad) and going bankrupt shortly thereafter creates harm to the state, which does not collect money.

Little money for the state means little money in institutions and starving public salaries.

This leads to Underpaid state employees who go into debt To survive.

And so on in an endless cycle sinking into CRISIS.

(to make it simple)

You will understand then the importance of getting paid WELL, and if a craftsman asks 47 euros for a product that "normally" would cost less, there is only to compliment and thank him.

Because it is thanks to these professionals and entrepreneurs that the country is still standing.

Yes because against intuitively If all companies raised prices and their profits, salaries would also rise. — unless you're dealing with entrepreneurs-cosi, on the home page you'll find it says who they are –.

And quiet there is a huge portion of affluent and wealthy customers who can afford it.

So what?

So we will all live better. The state would collect more, perhaps accordingly would lower taxes e Would increase investment in public institutions, which in turn would raise salaries to employees. Employees would then start spending more.

It is not as utopian as it may seem. All it would take is the individual,then collective,willingness to do it.

And don't you think in switzerland the job situation in the gastronomy is so different and indeed paradoxically is worse. We are saved only because the economy of the country and other sectors in fact largely support it.

This is to say that if a person cannot afford 47 euros for a BREAD of the highest workmanship and quality - yes because panettone was being talked about - is not a problem of the artisan who works his ass off to do it, but it is the fault of the overall financial mismanagement of entrepreneurs who do not realize that Getting underpaid is the downfall for everyone.

Same goes for ice cream, pizza, various cuisines and so on....

So if you who are reading are a slightly more careful entrepreneur and have noticed that something is not right in your company, book the phone consultation, click here.

I will help you get out of it and find a solution! I won't let you go out of business simply out of fear of not raising prices! First piece of advice GET PAID!

Edoardo Guzzi
Photo by Christian Wiediger on Unsplash

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