How can tariffs affect employees and what support measures can be taken? On this special episode of The CEO Project podcast, host Jim Schleckser is joined by co-host Sharon McGuire for an in-depth conversation about the ripple effects of tariffs on business strategy and operations. With nearly half of CEOs expecting to raise prices in response to rising input costs, the discussion dives into how leaders are adapting to an unpredictable global trade environment. Topics include the importance of diversifying supply chains, rethinking pricing strategies, and the limits of absorbing costs as a short-term solution. The episode also explores how CEOs, boards, and investors can work together to stay resilient and responsive amid shifting international trade policies. Key Takeaways:
- Tariffs can have a regressive impact on consumers by causing higher prices in importing countries, affecting individuals based on their financial situation.
- CEOs are planning to increase pricing to cover higher input costs due to tariffs, impacting current business operations and requiring quick adaptation.
- Rethinking supply chains by exploring alternative suppliers from countries with lower tariffs can reduce risks and maintain cost efficiency.
- Price increases due to tariffs may lead to financial stress for employees, prompting potential compensation adjustments and alternative benefit strategies.
- The removal of subsidies can profoundly impact industries like rice production in India or dairy in the United States, altering the landscape of various industries and global trade dynamics.