The first business that is hurt by inflation is retail businesses
As the general price level of goods and services increases, consumers have less disposable income to spend on discretionary purchases
This can lead to a decrease in demand for retail goods, which can result in lower sales and profits for retail businesses
Additionally, during times of inflation, the cost of raw materials and labor may increase, which can lead to higher costs for retail businesses
The second business that is hurt by inflation is small businesses
Small businesses may have a harder time adjusting to changes in the economy than larger businesses
During times of inflation, the cost of goods and services may increase, which can make it more difficult for small businesses to maintain their profit margins
Additionally, during times of inflation, interest rates may increase, which can make it more expensive for small businesses to borrow money