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Paste your paragraph under your class group.

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Teams are the best way to organise employees

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Teams are the best way to organise employees

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As is widely known, many businesses achieve success by organising teams. Employees bring complementary skills that allow them to support each other and increase efficiency( Input Text 1). However, this approach is not always the best way, as it often depends on the specific situation. This essay will explore the situations why teams may not always be the most effective way to organise employees by firstly exploring standards, and secondly explaining keeping employees.

Firstly, building teams requires clear standards，without them, numerous problems can arise. Team members are typically focused on reaching a single conclusion, which may lead to situations where some individuals are hesitant to say no. According to Input Text 2, when someone compromises their principles to accommodate others, the quality of the work can suffer. For instance, if one of the team members is a superior, others may be reluctant to challenge their opinions. As a result, clear standards are important when organising teams. However, it is difficult to make every team suitable for every situation. Moreover, it also depends on the size of the tasks. Before making decisions, leaders should ask themselves whether it is necessary to build teams, as many simple tasks can be solved through an individual's efforts. Teamwork may sometimes lead to a waste of human resources and energy. In conclusion, a suitable standard must be identified before organising a team.

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Teams are the best way to organize employees. Discuss 

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Teams are the best way to organize employees. Discuss 

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Teams can be defined as a group of people have same goal and corporate to achieve it (Input Text1). Teams are regarding as a effective way to organize people (Input Text1). However, there are also some disadvantages of teams such as social loafing, means some under-motivated people in the team will want something for nothing (Input Text1). The aim of this essay is to explore is teams are the best way to organize employees or not.

One of the primary advantages of teams is the members in teams can help each other. Using their complementary skills to solve one task, which can organize the employees in maximum extent（Input Text1). Moreover, teams can also providing diversely solutions to one task. Teammates from different ethnics, different territories even different countries can come out different opinions. provide more efficiency to one task (Input Text1). However, teams will expose disadvantages in some cases. Such as when the team is lack of self-testing, there will be horrible social loafing in the team (Input Text1). What's more? when people in a team. His brain will prefer making extreme decision-making. This is because when someone support same opinion they will become more confident and make this opinion more extremely (Input Text1).

So is teams are the best way to organize employees? It depends, when the task is a compound，complex work. Teams can be the best way to organize employees (Input Text1). For instance, if it requires to work for a university, It is important to build teams for different functions. Such as Teaching department, living department etc. But when the task is simple. The wiser choice is only use one employees to deal with the task. That is because when use team to deal with a simple task. It might be argue in the team. Leading to efficiency reduced (Input Text1).

In conclusion, teams are the best way to organize employees when the task is complex. Controversy, when the task is simple, It is wisely to let one person to deal with the task.

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Teams are the best way to organize employees

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Teams are the best way to organize employees

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Teams is a collection of people who interact with each other, have complementary skills and are committed to a common purpose (input text 1). Teamwork is essential in both study and work. However, this essay will show that the effectiveness of team is related to the qualities of team members and team leader, or the type of the task team need to tackle.

Teams can be effective when the qualities of team members and team leader are excellent. That’s means only when the team members are actively involved, have the courage to take responsibility, and the leader leads effectively, can the team play its role. A phenomenon where individuals exert less effort in group work than when working alone can happen in teamwork (input text 1), which is known as social loafing. There are three probably reasons of social loafing. First, when working in a group, individuals believe that their own efforts have little impact on the overall outcome, and the responsibility is dispersed among each member (input text 1). Second, individuals may lack motivation. In a group, it is difficult to clearly distinguish and measure the individual contributions. Excellent performance may not necessarily be rewarded, and poor performance is also difficult to be held accountable, which makes individuals lack the motivation to work hard. Third, When the relationship among members is not close and there is a lack of identity and a sense of belonging, individuals pay more attention to their own interests rather than the group goals, and social loafing is likely to occur. What’s more, the leaders’ abilities and qualities are also essential. If the team reader can encourage group members to engage actively, express doubts and improve the reward and punishment mechanism, the negative aspects of teams can likely be avoided. For example, if a leader is willing to play the role of the devil's advocate by putting some questions to someone who has different ideas (input text 2), that’s likely to occur discussion and deepen the understanding of the task.

Teams’ effectiveness can be related to the type of the task team need to tackle. In the case of solving complex and diverse problems, teams are indeed effective and necessary. In a team, individuals bring unique backgrounds, experiences, and education to solve problem more effectively because there is a wider variety of skills and ideas to achieve the goal（input text 2）. For example, in a product development team, a person with a background in engineering can contribute technical insights, while a marketing professional can offer valuable perspectives on consumer preferences. By contrast, too many people to discuss a simple problem, but more waste of time, reduce efficiency. Additionally, when entering a new market or field the team may be more reliable and effective (input text 1). More people are better for brainstorming, which is better for innovation and innovation is key priorities in new environment. Finally, teams always occur group polarization which means the view of group members shifts towards a more extreme direction after group discussion (input text 1), whether it is more risky or more conservative. That's because our view may be strengthened when discover that others' share our opinions. To avoid polarization, it is not appropriate to discuss the most important decisions with too many people, and the team should have a small number of decision makers.

This essay argues that while teams are a common way to organize employees, their effectiveness depends on two main factors:  the qualities of team members and leaders and the task type matters. In reality, It is necessary to combine team and individual work in a reasonable way, and decide whether to adopt team cooperation according to the type of task and the quality of individuals.

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Teams are the best way to organize employees.

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Teams are the best way to organize employees.

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Humans make extensive projects in decades, and each project in normal cannot be only achieved by one person. Team, a special type of  group(Input text 1), can be a efficient and better selection for numerous types of task in today's world and also be adopted by managers to organize employees during a project achieving. Teams should be the best way to organize employees, which maximize the productivity and make members learn more.

Team can make everyone contributes and focus on a same goal, maximizing production capacity to achieve the goal. According to Input text 1, teams in workplace, whose members may have different skills, share the same goal and worke cooperatively, can be a efficient way to finish a task. For example, in a efficient teamwork, the decision made by team can be valuable because it is the combination of every team members’ wisdom and knowledge (Input Text 2), which can also decrease the sound of disagreement. In addition, during a efficient teamwork, leader can allocate task based on the strengths of different members, which maximize productivity. Teams provide a suitable platform for every members to contribute to their sharing project, forcing every members who remembers the facilitating effect to find suitable solutions, which can help the manager organize the employees and achieve goals.

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In modern workplaces, teams have become an important part of managing employees. According to Input Text 1, compared to individual star, a team can share the different skills which can enhance work efficiency and achieve goals. This essay will discuss that teams are the best way to organize employees.

Teams are helpful in cultivating and accomplishing complex tasks to the employees. When facing with a complex problem, different team members can be assigned to what they are expertised in. Each member takes advantage of their strengths based on their unique experience and knowledge. Moreover, team menbers can point out shortcomings which can better reduce errors (Input Text 2). This provides an environment for employees to learn more from their colleagues’approaches and  enhance motivation and engagement. In this case, employees will gain more confidence and valuable skills that they can apply in future tasks.

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‘Teams are the best way to organise employees.’ Discuss.

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‘Teams are the best way to organise employees.’ Discuss.

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In modern workplaces,  the structure of employee organisation can significantly  impact productivity, innovation, and job satisfaction (Input Text 1). One of the most important forms of employee organisation is the teams. Teams are a special form of group, which is regarded as an effective way to carry out tasks (Input Text1). However, in some diverse situations, teams may impede the progress of industry development. This essay focus on discussing whether teams are the best way to organize employees. Firstly, organising employees through teams has certain benefits. At the same time, there are also some problems associated with organizing employees in this way.

On one hand, the advantages of team-based employee organisation are evident.

On the other hand, there are also drawbacks to organising employees in teams.

In conclusion, while teams offer great potential in terms of promoting cooperation and innovation, they still have some drawbacks.

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'Teams are the best way to organise employees.' Discuss.

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'Teams are the best way to organise employees.' Discuss.

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As a team is a special group where the members always have complementary skills and are committed to the same goal, the claim that teams are the best way to organize employees spreads widely (Input text 1). However, this statement is wrong in certain situation, and it needs some limitation in condition. Therefore, this essay aims to explain that teams can organize the employees well when the processes include multiple functional areas, or the tasks require coordination and cooperation.

Teams have optional benefits when the work process involves multiple areas. Different types of group members are able to share different kinds of inspiration and ideas, which is helpful when the task is facing a lot of aspects. For example, according to Input text 1, in order to create an interesting and attracting video-game, it is a great idea to get the graphics team and the writers team to work together, which can not only develop stimulating stories, but also draw lively animations to match them. A team with employees in diverse areas can help them overcome blocks in their minds and have more brilliant opinions during the brainstorm time (Input text 2). However, if the company only has a small scale and targets at one aspect, teams cannot play such big roles in working because some employees will likely to without effort since a person is often removed from individual accountability (Input text 1). Subsequently, it is believed that teams can effectively organize the employees when the company is involved in many fields.

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Teams are the best way to organize employees" Discuss

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Teams are the best way to organize employees" Discuss

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From the view of company, the teams are not the best way to organize employees. This opinion can be discussed from two points of view. The first is the lift-outs risk of the key team and aother is the bad effect of the groupthink.

Firstly, as the input text 1 mentioned, lift-outs refers to "the practice of recruiting an entire high-functioning team from another organization." The lift-outs is not only beneficial for their new company to explore a new market, but also a big loss to the previous company where fostered the team. In the competitive incentive market environment, company chooses team to organize employees is not very wise. Futhermore, the groupthink is one of the notable disadvantages of team decision(input text 2 ). Input text 2 mentions that groupthink could lead to a

bad idea more possible because the members of team lose their critical thinkings in the team. This phenomenon would hurt the ability to innovate of a company then hurt its competitiveness. In a word, teams are not the best way to orgnize employees.

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Teams are the best way to organize employees 

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Teams are the best way to organize employees 

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Teams can reduce and help avoid the problem on work, especially to organize employees, team member form different culture background, provide their knowledge and ideas. It should be positive to the work, especially it related to decision making.

Firstly, ideal exchange can be positive effect to team members’ work and reduce potential problem. According to input text 2, group members can evaluate and give suggestion. It will reduce the challenge and risk, which team may meet on the work or saving the times on division making, especially when team had a well-rounded communicate between members. On they other hand, groups can provide opportunity for individuals to overcome the blocks between them members,especially on cognitive part. If team keen to achieve this positive effect to motivate members work efficiency, that will really on the different skills between the team.

Secondly, set different duty based on ability between team members can provide efficiency. According to input text 2, members provide different skills to same target can higher the efficiency significantly, Because it will feasible for team members to understand their responsibility on the team it can reduce the risk for emphasize work. For instance, in a soccer team, their is different totally different skills between player, goalkeeper provide protection, attacker focus on getting goal, both of them are extremely important. Though the have very different training and duty, but with in the coordination, they will increase the opportunity to achieve the victory.

Eventually, team can be benefit to work efficiency, by exchange ideals and duty set. Ideals exchange can motivate efficiency by reduce the amount of misunderstanding because of cognitive, duty setting can make members clear understand theirs’ responsibility at team, to increase the efficiency by team method.

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“Teams are the best way to organize employees.” Discuss.

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“Teams are the best way to organize employees.” Discuss.

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A team is a special form of group in which members normally share the same goals and are required to accomplish some tasks (Text 1). In the recent workplace, teams are considered as a collaborative platform where people can work together to work out problems. However, if there is a huge gap between several team members, it may be difficult to organize all of them. As a result, teams are a proper way to organize employees in some appropriate working situations.

In some fitting situations, such as group decision-making, teams can encourage good teamwork and lead to the success of organizing employees. For them, working as a team cannot avoid discussing or making decisions (Text 2). During that period, people are likely to experience discussions, communications, and even arguments in order to achieve an agreement. Therefore, this is an opportunity for them to have an in-depth understanding of each other's working style so that they can have a better collaboration in the future. In addition to the process of group decision-making, improved teamwork can help organize employees. According to Text 1, the team leader usually encourages teamwork by using some words and phrases. Text 1 states that teamwork is featured by understanding and accomplishing shared targets for all team members. For example, “collaborate” and “support” are two useful and professional words (Text 1). These can enhance teamwork, leading to good communication for employees unconsciously. That’s why teams are incomparable in promoting cohesiveness.

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'Teams are the best way to organise employees.' Discuss.

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'Teams are the best way to organise employees.' Discuss.

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Teams are regarded as a particular set of groups (Input Text 1). The claim that teams are the most effective methods of organizing personnel is a controversial topic that has long been debated in business and management. On the one hand, teams are highly praised for their ability to unite diverse individuals, forming a collaborative environment. On the other hand, they also face criticism for certain inefficiencies and potential problems (Input Text 1; Input Text 2). This complexity makes it essential to thoroughly scrutinize these two sides before making judgments.

Teams offer numerous advantages. They gather individuals with different backgrounds, skills and experience. This diversity can significantly enhance problem solving capabilities. For example, in a product development team, an engineer can contribute technical expertise, while a marketing professional can offer insights into customer needs (Input Text 1). Additionally, group decision-making within teams also has its merits. According to Input Text 2, the combination of everyone’s intelligence often leads to better decisions. Members can observe and imitate other’s behaviors, thus reducing the possibility of some main mistakes. Simultaneously, when members are exposed to such a collective environment, they are more likely to widen their thinking and exchange ideas to obtain a better one. Moreover, in the case of entering into an unknown realm which needs innovation, teams are invaluable. Input Text 1 shows that a considerable portion of automotive firms have successfully used teams to develop electric vehicles, as the collaborative effort allows for the integration of different ideas crucial for this emerging field. Thus, it can be seen that teams inspire their members and maximize productivity.

However, teams have their drawbacks as well. Groupthink is a common issue, where members pursuit the peaceful work environment, resulting in bad decision making and the undermining of critical thinking (Input Text 2). According to Input Text 1, there is an opposing phenomenon called group polarization. It occurs when team members make a choice through discussion, which may cause the opinions to change towards more extreme positions, either overly risky or overly conservative. For instance, due to constructive group discussions, members of an executive team may opt to enter a notably risky market, despite individual reservations and collective advisability against such a decision (Input Text 1). Additionally, teams often escape blame for failures, with individual members being held responsible instead.

In conclusion, while teams indeed have benefits of collaboration, decision-making and innovation, they are not always the best ways to organize employees. The effectiveness of teams depends on the nature of work content and environment. For simple tasks or when individual expertise is crucial, personal work and common groups may be more appropriate. As a result, organizations should give comprehensive and deep thought to assess whether to add new employees or organize a team.

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‘Teams are the best way to organise employees.’ Discuss.

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‘Teams are the best way to organise employees.’ Discuss.

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It depends, despite the benefit of division of labour, team members have complementary skills, it could also increase the difficulty to manage the employees. (Input text 1)

There is a risk of a whole team left the company, becoming a lift-out team which an team be hired from another organisation. (Input text1)  Lift-out team can help a company to start a new business rapidly. Consequently become a trend in many industry, including financial services, law and information technology. (Input text 1) Therefore, it becomes a challenge for manager how to organise their employees to make them being loyal to the company by using team to organise them

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Teams are the best way to organize employees. Discuss.

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Teams are the best way to organize employees. Discuss.

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In modern business landscape, teams are widely applied to organize employees. Teams as a special type of group, possess members with complementary abilities contributing to a common purpose, just like a football team (Input text 1). Teams indeed play a crucial role in organizing employees in specific situations. However, there are some disadvantages that can not be ignored. This essay will firstly discuss advantages of organizing employees with team, then shows limitations about it.

Teams are effective to organize employees when they are used in these kind of scenarios, especially in multiple functional areas and when they are entering a new market or field (Input text 1). Because of the diversity background of team members, teams have a great advantage in cooperation and innovation (Input text 1 and 2). As explained in Input text 2, group decision making in teams enhance the productivity by overcoming blocks in their thinking and being more positive to implement the decision. For example, some companies divide the work between different teams and responsibilities, including product development and marketing to boost efficiency (Input text 1). Consequently, creating teams have better expression than other ways when collaboration and innovation are the key priorities (Input text 1).

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Teams are the best way to organise employees discuss

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Teams are the best way to organise employees discuss

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Team is considered as a special group(Input Text1). It is usually referred as a group of people who work together towards the same goal. Teams are really essential in various areas, as well as companies. This essay will discuss about the topic that teams are the best way to organise employees. From my point of view, teams can be the best way to organise employees, but it depends on specific conditions. First the essay will discuss the team size, and then it will discuss
The team size can influence employees' organization. According to Input Text 1, a team usually contains different employees that have varieties of ideas and skills, leading to tackle issues differently. For instance, employees in a teams tend to have diverse knowledge, experience, education and culture backgrounds(Input Text 1). If a team size is quite large, facing with so many opinions, it is impossible to impletement all ideas and satisfy each members' expectation. When it comes to this condition, there might be conflicts among employees, which is an evidence that teams are not the best way to organise employees. In a word, to make sure teams as the best way, the team size should always be considered.

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“Teams are the best way to organize employees.”Discuss 

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“Teams are the best way to organize employees.”Discuss 

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A team, in which members have complementary skills and are committed to a common purpose and an approach to the task, is a special type of group. It is widely identified that teams are the best way to organize employees and there is the discussion.

Teams are the best way to organize employees when expressing doubts and criticism is encouraged. According to the survey on 108 employees who made up 30 teams in 5 large businesses, it is found that having a strong faith in the group was associated with high group performance. With this result, employees in teams could make group decisions and group decision making offers several advantages over individual decision making, such as improving the quality of decisions by combining group wisdom and avoiding major errors by evaluating their thoughts. “People who participate in making a decision will often be more committed to the implementation than if they had not been consulted.” In this method, employees could be more committed to be organized. For the last advantage, teams could help employees overcome blocks and be more creative.

However, in some conditions, teams are not the best way to organize employees.

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Teams are the best way to organise employees.‘Discuss 

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Teams are the best way to organise employees.‘Discuss 

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Cecilia

‘Teams are the best way to organise employees.‘Discuss

As the special type of group (Input Text 1), team becomes a popular choice in both schools and workplace. Teamwork, which means sharing targets when committing and understanding with all team members (Input Text 1), has been argued whether it is the best way to organise employees. As far as I am concerned, team could be the best way in maximising all employees efforts only when a competent leader performs his duties conscientiously.

To bring out employees’ best, a leader should guide employees correctly. Employees from different backgrounds may act and think differently, which would bring diverse views and frequently conflicts at the same time (Input Text 1). In addition, despite groupthink maximising teams ideas, various opinions of groupthink sometimes have negative effects. For example, team members may fail to evaluate bad opinions in critical thinking (Input Text 2).However, these disadvantages could be avoided by the leader’s actions. According to Input Text 1, strengthening the attitude is regarded as the key strategy of encouraging teamwork. It is believed that high group performance is related to the strong faith in this group (Input Text 2). It is team leader’s responsibility to make sure that employees diversity could be fully used to enhance their creativity and solve conflicts. This means employees may justify their views and challenges their thoughts. Also, employees may grow a deep thinking if the leader encourages them to think critically and accept criticism (Input Text 2). Therefore, the employees can do better under the leader guidance of tolerating diversity and critical thinking.

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“Teams are the best way to organise employees."Discuss

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“Teams are the best way to organise employees."Discuss

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It seems that teamwork can bring many benefits for company according to a lot of cases nowadays. One study showed that a questionnaire which was done by 30 teams in five large businesses revealed groupthink can improve team performance. (Input text 2) However, the opposite situation is also appearing. Sometimes groupthink might lead to waste time and make wrong decision. (Input text 2) Therefore, this essay will discuss teams are the best way to organize employees when team members involve diverse talents. One reason is diverse members have the ability to integrate diverse information, and the other reason is diverse members usually can groupthink critically.

When team members involve diverse talents, they have a high speed to integrate diverse information. There are many advantages if company owns such a professional team. For instances, people who come from economics and business majors may need design suggestions from fine art majors. (Input text 1) The diversity can be found in many ways, not only the cultural diversity, but also can be different mode of thinking and different strong point. The teams have these talent have high quality interaction.

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finish writing the rest of your essay and post it as a comment on your initial draft.

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paste your answer under your class group

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The effects of rising food prices on bakeries

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The effects of rising food prices on bakeries

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As the main ingredient of bakeries are flour, sugar and butter，the rising food prices will increase the cost of bakeries, and led to a decline in the bakeries’ profits in the last.

It’s very easy to understand this logic. As we can see, the food prices have already increased from 2020 due to the covid-19 pandemic and The Russia-Ukraine War (Line graph). The rising food piece will increase the cost of the bakeries, if the bakeries keep their product prices unchanged, the profit of every product will decrease. And the total profits will decrease in the last. And if the bakeries rising their product prices, every single product’s profit will stay unchanged, but we can know the total sales volume will decrease due to the theory of price elasticity of demand. That way, the total profit of bakeries will also decrease.

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Product of bakeries such as baked bread and cakes are price elastic, which means the consumers’ price sensitivity is relatively high as there are a lot of close substitutes in the food market. A small increase of price may lead to big decrease in demand, beneath all elements affecting product price, food prices may be one of the most important factor that affects the cost. Cereal is an major cost for bakeries as it is the raw ingredients of flour. According to FAO., 2024, the cereals price index fluctuated significantly with an overall increasing trend. This suggests that the cost for bakeries to purchase ingredients is increasing so firms may need to increase price of products if they want to maintain profit margins. In addition, the effect of food prices may depends on the size of bakeries. There is an significant increase in price of cereal during 2008 due to economic crisis and 2022 when Russia invade Ukraine (FAO., 2024). Small business that are less financially resilient may become less capable to withstand the increase in price of cereals, resulting in business failures. Although some bakeries may use different methods to offset the increase in food price,  there may also be risks on damaging brand image if quality declines when cutting costs by using cheaper ingredients or smaller portions, which may lead to loss of customers and revenue even the selling price remains the same.

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Food price, particularly cereal prices have profound impact on bakeries. As the chat shows that the cereal prices have experienced significant fluctuations over the years. For example, For example, there were sharp increases during certain periods, such as around 2007 - 2008 and 2021 - 2022. These price fluctuations directly affect the cost structure of bakeries. Cereals are a primary raw material for bakeries, used in making bread, pastries, and other products. When cereal prices rise, the cost of production for bakeries increases. According to economic principles, if bakeries cannot pass on these increased costs to consumers through price hikes, their profit margins will be squeezed. For instance, if a bakery's cost of purchasing flour (a cereal product) increases due to a rise in the cereal price index, and the bakery is unable to raise the price of its bread products because of market competition, it may face a reduction in profits. It shows that, the fluctuations of cereal prices have massive impact on bakeries.

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Food prices have a substantial influence on bakeries. When costs of key ingredients like cereals and flour rises, bakeries are directly impacted. According to the chart above, it shows that the cereal prices were increasing from January 2020 to July 2022. This is because of the impact of the COVID-19 pandemic. The higher cereal prices increase production costs, squeezing profit margins. Bakeries have to decide whether to take on the costs on their own, reducing their revenue, or pass it on to consumers by raising product prices. However, both of these strategies may affect bakeries’ overall revenue and profitability.

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Raw material prices affect bakeries’ performance

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Raw material prices affect bakeries’ performance

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Because raw materials like cereals are needed in the process of baking, the rising raw material prices, especially in recent years, affect a lot on bakeries. The graph from FAO. (2024) shows that from 2008 to 2024, the price of cereals rose around almost the whole duration and the highest point is in 2022. The reason of this can be seen as the war between Russia and Ukraine. As the global suppliers of cereals, Russia and Ukraine control 27% of the global wheat trade and 53% of the global sunflower and seeds trade in 2020 (Reading list Source1). It means that the war between these two countries will interrupt the global cereals trade and cause the shortage of baking material. According to the theory of supply and demand, this supply shortage will make the price of cereals higher than before, which directly influences the cost of bakeries and pushes them to face the changing performance. If they raise the price per bread, there may be fewer customers, and it will lead to the profits decline. However, if they reduce prices to attract customers, they may face the problem that the cost per bread outweighs the revenue per bread, which affects their survival. Thus, as a part of food prices, raw materials prices affect bakeries’ performance. How to solve this problem is the question that bakeries need to think about.

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Food price have significant impact on bakeries. Raising food price, particularly of key ingredients like cereals, can directly affect the bakeries’ production cost. For instance, according to FAO (2024) , due to the conflict between Russia and Ukraine, cereal prices are at a record high. Cereals are fundamental to bakery products such as bread and cakes. When cereal prices increase, bakeries may face higher costs for purchasing flour as a primary ingredient. This can squeeze profit margins if the bakery is unable to pass on these cost increases to consumers (Chentman and Hover, 2023). If the bakeries want to balanced the cost, they must cut other part of expenses, this practice might reduce quality of products. On the other hand, if the bakery raises prices, it risks losing customers, so that customers may willing to pay another substitute goods or reduce spending on bread products. In conclusion, In conclusion, food prices play a crucial role in the operations and profitability of bakeries, and understanding these price trends is essential for bakery owners to make decisions.

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Food prices will influence bakeries in lots of aspect. The most important aspect is the supply of raw materials. The most important raw material for bread is cereals, so its price fluctuations have the greatest impact on bakeries. With the line graph of FAO. (2024). Monthly cereals price index worldwide from January 2000 to May 2024., people can find some very special points. For example, the point in 2022 is the highest point in the whole chart. In this year, the Russia-Ukraine conflict led to a surge in cereals prices. Therefore, the cost of making bread in bakeries will increase, so they have to raise the price of bread. This also means that the sales of bakeries will decrease. As a result, people will find that the rise in food prices has caused a decline in bakery turnover and profits. In the same way, in those years where cereals prices are low, the price of bread will also drop accordingly, and the turnover of the bakery will increase, resulting in an increase in the profits of the bakery. This involves a theory that food prices will affect consumers' purchasing behavior. This theory is mentioned on pages 49 and 50 of this article—Competition choice and rising prices in groceries(source 4). People can draw conclusions from these theories and charts that the rise in food prices will cause a certain decrease in bakery turnover and profits. Of course, the decline in food prices will also make bakeries more profitable to a certain extent.

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The change of food prices has a great impact on the business of bakeries. In short, the fluctuation of food prices will affect the behavior and choice of consumers, and then affect the business of bakeries.

One of the effects of food prices on the chain can be summarised simply: War, bad weather and other factors -- raw material prices -- commodity costs -- commodity prices -- consumer behavior -- business. For example, In 2020, Russia and Ukraine accounted for 27% of the global wheat trade, after the conflict, exports were blocked, wheat prices increased, and then increased the price of flour, which is the main raw material for making bread, so the bakery production cost increased, may pass on the increased cost to consumers.

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The price fluctuations of food can have an impact on the selling price, sales volume, and profits of bakeries. The price of food can fluctuate due to various factors, such as natural disasters, outbreaks of diseases and epidemics, wars, and so on. These often cause significant damage to food, thereby affecting the cost of food and further impacting its price. In the case of sweet spreads, prices of honey have been strongly affected, considering one third of Europe’s honey imports traditionally stems from Ukraine. The price of rice has also increased due to climate events such as floods and droughts.( How Consumers and Businesses are Reacting to Food Price Inflation)From the chart, it can be seen that food prices were very high in 2008 and 2022. In 2008, the shortage of food was caused by the SARS epidemic and the economic crisis, resulting in a small quantity and high prices of food. 2022 is due to the Russo Ukrainian War.In addition to raw material costs, packaging costs will also increase, further leading to fluctuations in food prices. Due to environmental and war issues, the price of packaging products such as plastic can also increase.Bakeries may encounter pricing issues and may maintain their original prices to support themselves during this difficult period. Bakery shops may also raise prices in order to maintain their profit margins, but they should choose carefully as this may lead to a decrease in customer traffic and revenue

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Food prices will influence the performances of bakeries

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Food prices will influence the performances of bakeries

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Food prices will have an impact on the performances of bakeries. When the prices of cereals generally increased recent years, many bakeries' bussiness performance have been influenced.

According to the Monthly cereals price index worldwide from January 2000 to May 2024 line graph, the cereals prices are generally rising, and it reached the highest point in 2022. There are many factors which can cause the price rising. In 2022, the war between Rassia and Ukraine made Ukraine reduce the honey export, which is the raw ingredient of bread. COVID-19 also burst in that year, making global market recession, increasing the prices of bread intergrients(source 5).

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The effect of food prices on bakeries is significant, as fluctuations in the cost of raw materials directly impact production costs and profit margins. For instance, FAO.(2024) shows notable variation in cereal prices, a major ingredient in bakery products. Due to the COVID-19 pandemic and Russia’s invasion of Ukraine, the supply chain has been disrupted, and the demand for staple food increased, resulting in a sharp rise in cereal prices (Chehtman and Hover, 2023; FAO., 2024). This increase forces bakeries to either pass the higher costs on to the consumers, replace ingredients, or reduce good size (Chehtman and Hover, 2023). According to FAO. (2024), the cereals price index experienced a significant peak in mid-2022, which can be attributed to geopolitical tensions and adverse weather conditions affecting crop yields. These factors highlight bakeries need to focus on external economic and environmental factors, emphasizing the need for strategic planning to respond to rising costs.

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Generally, food prices are deeply related to the cost of bakeries. The relationship between food prices and bakeries’ profits can be well explained by a supply-demand curve. When the food price increases, the cost of bakeries increases, the setting price increases, supply quantities increase, demand quantities decrease, and vice versa. In the short term, companies can find the equilibrium price to make maximum profits.

However, influencing by some events, the price of food may change sharply. For example, Russia-Ukraine War during the period from September 2021 to July 2022, lead to a high increasing of cereals price index, which are the ingredient of bread. As results of this sharp impact, due to the rising cost, big companies like Paris Baguettes may rise their setting prices in a reasonable range, causing profit reducing. The reduction in their profits depends on whether the company has enough resilience to solve problems. For small businesses, this price problem may destroy them easily because customers have too many alternatives if they can not compress profits to balance the setting price.

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Explain the effect of food prices on bakeries

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Explain the effect of food prices on bakeries

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The ingredients of bakeries are flour, sugar, eggs and some other daily food, which can be influenced by the fluctuation of food market. Thus, bakeries could be affected by food prices significantly. According to monthly cereals price index worldwide from January 2000 to May 2024, the fluctuation of cereals price is obvious. Especially, in year 2021 and 2022, because of the Russian invasion of Ukraine and the influence of COVID-19 pandemic，cereals price is climb to the top. Increasing cereals price causes the high cost of bakeries. Thus, this will affect the pricing of bakeries. If bakeries do not put up prices of bakeries, the profit will go down. If merchants increase the price, it will influence the loyalty of consumers and they may find cheaper alternatives.

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Food price changes play a significant role in the short-term profitability and long-term sustainability of the bakery industry. Food prices directly contribute to changes in the cost structure of production, which determines short-run profitability to a great extent, and challenge the resilience of firms’ supply chains, affecting their performance in the long run.

This paragraph will first examine the effects by analyzing demand elasticities of the products to understand how short-term profit outcomes of bakery firms vary, and then move on to discuss how supply chain resilience determines a firm’s long-run sustainability by comparing different scales of businesses.

In the short run, the impact of food price changes depends on the price elasticity of demand for bakery products. Basic baked goods like bread, which are considered necessities, tend to have inelastic demand, meaning that even if prices rise due to higher ingredient costs, consumer demand remains relatively stable. In contrast, luxury baked goods such as pastries and specialty cakes have more elastic demand, meaning that higher prices may lead to reduced consumer purchases. For bakery firms, this means that rising input costs can be more easily passed on to consumers for staple products, while price-sensitive goods may suffer from declining sales, impacting overall profitability. Smaller bakeries catering to niche markets may struggle more with price adjustments than larger commercial bakeries with diversified product lines and economies of scale.

In the long run, food price volatility affects the structural resilience of a bakery’s supply chain. Firms with strong supplier networks and diversified sourcing strategies are better positioned to absorb price fluctuations, whereas those heavily reliant on a single supplier or imported ingredients may face disruptions.

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The profit of bakeries is affected by various factors, such as marketing strategies and leadership. However, food prices are the most significant factor, which will affect the cost of bread and cakes, further influencing bakeries' profit. The theory of supply and demand analyses that when the price rises, the quantity of demand will decrease, which will also affect the sale of businesses. According to Statista, the convincing data published by FAO in 2024 showed that cereal prices rose to the highest in 2021-2022, putting the bakeries into a crisis caused by the Russo-Ukrainian War. The change in cereal prices affected the price of flour, which increased the cost of bakeries. The strategies of bakeries will change due to the food price change, which is led by the raw material price change. They may raise the price to make sure the revenue, which will also affect the sale of bakeries.

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Food prices have a significant impact on bakeries, influencing their profitability and operations. In recent years, the baking industry has faced substantial challenges due to rising raw materials costs. According to the FAO's data on the monthly cereals price index,the cereals price increased around 45 index from August 2020 to May 2022. This surge in cereals prices will led to an increase in the cost of the breads. In this case,rising costs have forced bakeries to either absorb the additional expenses, potentially squeezing profit margins, or pass them on to consumers, which may lead to decreased demand. However, if the bakeries increased their prices of goods, the customers would cut back on their purchases. This would reduce the profits of the bakeries.Therefore, bakeries should explore various strategies to remain competitive, such as diversifying their product range and utilizing cost-effective ingredients to mitigate the impact of fluctuating food prices.