With the price of fuel rising 30% from January to early June, transportation costs are rising in importance again. According to 80% of the finance chiefs interviewed by the Duke University/ CFO Magazine Global Business Outlook survey, high oil prices are hurting their business.
You wouldn’t think so from the way companies are hoarding cash; however, in general, they have a stockpile of cash and remain leery to spend it. Last year, there was a 2% decrease in days working capital (DWC), according to CFO Magazine.
In today’s new normal business environment, there is a lack of a robust recovery and fears of a double-dip recession. No more easy sales. No more easy profitability.
