Posts Tagged ‘economic downturn’
by Veronica Stone on May 27th, 2009
By MIGUEL BUSTILLO
Some regional appliance and electronics retailers are flourishing despite intense competition from national chains, thanks in part to a retro retail concept: commissioned sales staff, trained to explain increasingly complex televisions and washing machines to customers.
These smaller retailers such as publicly traded hhgregg Inc. of Indianapolis and Conn’s Inc. of Beaumont, Texas, as well as closely held P.C. Richard & Son of Farmingdale, N.Y., are pursuing ambitious store expansion plans. They are aiming to capitalize on the slumping commercial real estate market and the collapse this spring of Circuit City Stores Inc., once the nation’s second-largest... Read more »
by Steve Strauss on April 24th, 2009
Q: I am on the hunt for any new ideas that can help me through this rough economy. It seems like the same old advice doesn’t really apply in this market. Suggestions?
Ann
A: I do agree that we are in extra-ordinary times and it makes sense to be on the lookout for cutting edge ideas and strategies. You never know which one might make a big difference.
Let me give you an example:
We have all heard about R.O.I. - Return on Investment. It’s a useful way to analyze whether you are receiving sufficient bang for your buck for... Read more »
by Christina Lee on April 14th, 2009
Not just income, but also TV-watching and Internet-browsing habits, should help manufacturers determine how “recession-proof” consumers may be, a recent study shows.
Throughout the past year, consumer confidence has largely been measured and addressed as a whole. But according to marketing and media researcher Nielsen, consumers will not all respond in the same manner to current economic conditions.
The study created consumer groups based on how and by how much they save money:
Recession Indifferent consumers are barely, if at all changing their spending habits.
Recession Insensitive consumers will cut spending on luxuries like entertainment and eating out, as they... Read more »
by Christina Lee on April 9th, 2009
The latest wholesale trade report surprised experts, as it indicated that wholesalers are more in sync now with the rest of the economy.
Wholesalers had cut inventories by 1.5 percent from the previous month’s levels in February, more than double of what Wall Street experts predicted. Since lower holiday sales led to more leftover goods than expected, cutting such excess inventory over the past few months became a necessary step toward economic recovery.
“It’s easy to see this reduction as an assurance that the contraction is continuing,” said Frank Ahrens, Washington Post analyst, in his column. “However, the sooner wholesalers... Read more »
by Christina Lee on February 17th, 2009
Wholesale inventories dropped further than expected by economists, continuing a streak of declines that has not been seen in seven years.
Inventories in December 2008, totaling $427.5 billion, fell by 1.4 percent from the previous month, according to the Commerce Department. Analysts predicted a decline only about half as big, with predictions ranging from 0.7 to 0.9 percent, according to the Associated Press and Wall Street Journal.
“This is the latest evidence of the difficult environment for business spending in the fourth quarter,” said Tim Quinlan, economic analyst at Wachovia in Charlotte, North Carolina, to Reuters.
Even as overall inventories... Read more »
by Christina Lee on February 6th, 2009
The idea first sparked last spring. Ron Schreibman, along with others in the National Association of Wholesaler-Distributors, had already seen the news and heard of companies suffering under the problematic economy.
In the meantime, this senior vice-president of strategic direction had to organize an annual executive summit for 2009, “a meeting of the collective leadership of the wholesale industry.”
Then the two thoughts converged. He realized that the association and its members should create a productive discussion, “to go beyond just articulating what the problems are.”
“Yes, it’s difficult,” he thought, “but there are things that companies are doing that... Read more »
by Christina Lee on February 5th, 2009
Recent studies from the National Retail Federation have announced the return of the conscious consumer, after it adjusted 2008 forecasts in September due to the down economy.
The trade group forecasts for 2009 an overall 0.5 percent decline in retail sales, according to a statement released last Tuesday.
“Most of the consumer behavior we saw in 2008 will continue well into this year,” said Rosalind Wells, chief economist.
By that, the trade group means that retailers may see a 2.5 percent decline during the first half. They may then experience an overall 3.6 percent rise in the fourth quarter, arriving... Read more »
by Christina Lee on February 3rd, 2009
As small business owners attempt to predict their economic futures, the U.S. Small Business Administration presents both new and updated resources that can be used during these harder financial times.
The newest addition is an online course, “Down-shifting in a Slowing Economy: A Business Planning Guide.” The presentation, while running less than 25 minutes, takes small business owners through a step-by-step process of how to reevaluate and streamline their strategies.
“When sales have slowed and credit markets are tough, it’s easy to become overwhelmed and to view planning as a great idea, but something you just don’t have time for,”... Read more »
by Christina Lee on January 30th, 2009
Consumers are planning for another low-key Valentine’s Day this year, as they plan to spend an average of $20 less than they did in 2008.
Total spending may also reach up to $14.7 billion this year, compared to $17.02 billion last year, according to the National Retail Federation.
Last year, consumers spent slightly less money on traditional gifts than in years past, opting instead for a night out. But now, with the current economy in mind, these couples simply just want to save, as president and CEO Tracy Mullin realized.
“A bad economy won’t stop Cupid this Valentine’s Day, but... Read more »
by Steve Strauss on December 25th, 2008
Q: I was recently laid off from my job of 10 years. I don’t really have any savings. Could I start a business somehow given my circumstances? Even if I could do something part-time until I get another job would help. Thank you.
Ellen
A: Of course the conventional wisdom is that this is a bad time to start a business, and one thing I know about conventional wisdom is that it is there for a reason; that is, maybe the group knows a thing or two.
No, this is not the greatest time to go into business for yourself,... Read more »