Retailing (Germany):
More favourable business situation
ifo Institut für Wirtschaftsforschung, München, 2006
in: ifo Konjunkturperspektiven, 2006, 33, Nr. 09, 25-30
The business situation in retailing again improved. However, a clear improvement in the non-food sector was offset by a worsening in food and beverages. On average, retailers appraised the six-month outlook a little more sceptically. Since inventory pressure has been decreased again somewhat, however, they also plan to slightly loosen their restrictive order policies. Prices have been raised noticeably; also for the coming months further increases are indicated, especially in food and beverages (oil price, poor harvests), although the number of such responses diminished somewhat. In contrast to the federal average, the positive assessments of the business situation again had a slight predominance in eastern Germany. Inventory overhangs were again reduced. In contrast, the business expectations were marked by increasing concern. This has had no effect on the order plans, however, which were less frequently subject to restrictions than in the past two months. The scope for further price increases narrowed even more.