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Shrinkflation May Leave Fewer Chips in Your Bag

Sneaky price hikes shrink portion sizes while prices stay high.

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As businesses across the globe contend with rising inflation, many companies are cutting costs by reducing the size of consumer goods and hoping buyers don’t notice. This video looks at this growing trend of “shrinkflation” and the risks that companies take when they downsize snacks. 

Questions:

  1. Why are many companies responding to rising costs with “shrinkflation?” 
  2. What risks do companies take when they alter the packaging or size of consumer goods like snacks?
Author: NickelsMcHughMcHugh