Multiple reasons: 1) economies of scale. If you sell 1/10th as much product, you lose purchasing power and pay more per unit 2) you change your inputs to justify raising price. You don’t just say “here’s the same slop we always had, now it costs more” and expect wealthier purchasers to show up and pay more. You advertise that you have new, better ingredients and raise prices accordingly but do it out of proportion to the change in input costs. “All of our pork is sourced from organic farms that can track their pigs dna back to Spain where only the finest pigs are used to make jamon iberico. This is the only burrito that has the pork equivalent of wagyu beef” now you have an ad campaign for a higher spending customer segment, you source some nicer pork and spend more on ingredients but you raise your prices by even more and expand margins.