Choppies employees to earn P4000 minimum wage next January

We have heard it, now as we can all see, Choppies Enterprise Limited has decided to increase minimum wage to P4000, but how will they be able to do this, there are several ways

1. Utilizing operating income( revenue)

   Income that comes from business activities such as sales of goods, this year Choppies made P8.5 Billion in revenue. How they can go about this is:

   -Increase prices for their products, passing the costs to customers

   -Improve operational efficiency (cutting waste or optimizing processes)

   -Boosts productivity (increase output per worker due to morale or training)

2. Utilizing reserves or retained earnings

   -Dipping into previous year earnings or profits

3. Utilizing debt

   -Taking on debt to finance wages (I don’t see Choppies taking this route because they already got debt to pay, read about how Choppies may go bankrupt due to its debt)

4. Cutting costs

   -Decrease spending in marketing, traveling, office perks etc

   -Automating processes or downsizing other offices

5. New revenue streams

   -Entering new markets, introducing new products, innovative pricing

The best strategy would be to fund wage increases through higher revenues, operational efficiencies, or strategic reallocations within the company's budget. Debt should only be a temporary solution, and only if there's a clear plan to repay it through future growth.