Thursday, March 30, 2006

Fuel costs squeezing us real bad

There's only one law that can never be broken, other than by silly government intervention that is. And that law is the law of supply and demand. It's so simple to understand, so vital to our capitalistic system and now so painful as gasoline prices bumped up over $2.75 a gallon today.

Friends, can $3-a-gallon gasoline be far behind? I think not. The summer driving season will soon be upon us and the oil companies are rubbing their hands in gleeful anticipation.

Higher fuel prices mean that everything that's manufactured or moved will cost more. In other words, EVERYTHING will cost more. Our surveys have told us that fuel costs of landscape and lawn service companies make up a relatively small percentage of their total costs. But with gasoline and diesel selling for more than double their prices just a few short years ago, fuel costs are definitely going to chew into that bottom line for companies that, for whatever reason can't or won't, raise their prices or find a way to deliver more revenue-producing service or product at each stop.

Keep following this blog — we're going to find out what you folks are doing about these high fuel costs. — Ron Hall

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