SEKGABO MOLELEKOA: Logistics sector and IT firms at the mercy of economic growth
Imperial has exited the domestic consumer packaged goods business while well-performing IT firm Mustek is dependent on consumer spending
24 October 2019 - 16:28
Evidence of the economy being in a grave state can be seen in the logistics sector where volumes are under threat and pricing is precarious.
Imperial exited the domestic consumer packaged goods business due to an “unviable and uncompetitive business model”. Costs in the industry have been rising on the back of higher fuel costs, requiring appropriate pricing models for viability. Strategies such as percentage of invoice introduce a level of uncertainty in profits as costs incurred are generally similar regardless of goods being transported...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.