Inflation is back. It’s back in a major way. The consumer price index for all items rose 0.6% in January, driving up annual inflation by 7.5%. That marked the biggest gain since February 1982 and was even higher than the Wall Street estimate. (3) It’s taking its toll on everyone from manufacturers to businesses to the consumer. The cost of healthcare is a major hot-button topic. With all this inflation one would think healthcare costs are spiraling out of control due to the current inflation but…they are not. Healthcare costs are up only 2% while economy-wide inflation is at 7%. (4)
You can thank the 120-year-old business model for helping hold those costs down. At the same time, we’ve got a nasty case of shrinkflation. We’ve all felt the sting of inflation at the grocery store, but for 2022, we’re seeing ‘shrinkflation.’ That’s higher prices combined with smaller products. (5) Think about it…you buy a nice big bag of potato chips. When you get home and rip it open it’s 95% air with a handful of chips scattered at the bottom. Same bag size. A lot less snacking.
According to the publisher Dworsky: (5)
Crest 3D White went from 4.1 ounces to 3.8 ounces
Fun size Milky Way bags that have shrunk from 11.24 ounces to 10.65 ounces
Aleve has also gone from 100 tables to 90
Gain detergent has gone from 165 ounces down to 154
The Small Business world is really feeling the pinch. Small businesses are getting hit so hard by inflation that they are struggling to even afford to advertise on Amazon to stay competitive in the marketplace. (10). Imagine if there was a way to access the same goods and material pricing as the big-box stores? That would be one quantum leap ahead in leveling the playing field and GPOPlus is working hard to make that happen.
GPOPlus (OTCQB:GPOX): The right company, in the right place, at the right time.
Group Purchasing Organizations are excellent, high-profit potential business models that have been around for over 120 years. (14)
GPOPlus (OTC US:GPOX)can tap into a significant part of a combined $5 trillion potential market by lowering or even eliminating purchase size minimums. (19)
Their division HealthGPO could bring in significant revenues by capturing as little as 1 percent of the healthcare GPO market. (15)
cb-dGPO is an ingenious cost-cutting concept that is hitting the market at the absolute perfect time, as growth is still robust, but the industry is in a consolidation period. (16)
Other companies in health care sector to keep an eye on include Exact Sciences (NASDAQ:EXAS), Sarepta Therapeutics (NASDAQ:SRPT), Neurocrine Biosciences (NASDAQ:NBIX), Amgen (NASDAQ:AMGN), United Therapeutics (NASDAQ:UTHR), Novo Nordisk (NYSE:NVO), Johnson & Johnson (NYSE:JNJ), Novartis (NYSE:NVS), Roivant Sciences (NASDAQ:ROIV) and Pfizer (NYSE:PFE).
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