The founder of Dio, Tamaz Daushvili, stated on BMGtv that the greatest challenge for any business is maintaining balance between the interests of employees, employers, and consumers.
According to him, wage growth does not always reflect productivity levels and is often determined by market dynamics.
“I am always happy when salaries increase and businesses have the means to do so. However, the key is to maintain the right balance among three sides - employees, employers, and the most important, consumers. Managing this balance is one of the hardest tasks for any business leader,” Daushvili said.
He noted that while salary increases are essential for improving living standards, they also push prices upward. “When living standards rise, so do people’s expectations, which drives wage growth. But this puts pressure on businesses - if wages increase, either prices must rise or profits must shrink. Raising prices is the easiest option, but it can reduce sales,” he explained.
Daushvili added that it is difficult for Georgian businesses to make long-term plans in the current economic environment, especially given the significant outflow of the workforce abroad.
