The paper attempts to show how economic recession and the forces active during such a period, can be utilized to minimize the damage caused by the recession and benefit companies.
Abstract This research paper discusses various topics relating to recession marketing including the following: a brief synopsis of the 2007-2008 economic crisis, advantages of a recession, marketing convenience products, marketing luxury products, survival tactics, a marketing strategy plan, and some recommendations on recession marketing. The paper does not focus on the implications of the recession as much as the objectives of companies during a recession. The paper explores briefly international marketing, but primarily focuses on marketing in the United States. A graph and a diagram are included with the paper.
Outline:
Introduction
Purpose and Scope
Statement of the Problem
Background
Methods
Limitations
Advantages of a Recession Marketing Convenience Goods
Thriving Goods
Marketing Factors to Consider For Coming Year
Marketing Luxury Goods
Developing a Recession Marketing Plan
Assessing External Factors
Assessing Internal Factors
Strategy Determination
Review and Control
Marketing Tactics
Anticipating Competitors
Value
Quality
Customer Focus
Communications
Promotion
Conclusions and Recommendations
References
From the Paper "Quality cut downs may not be noticeable in the short-run but in the long run consumers will notice if a company feels tries to save some money by cutting down on the quality of their products. If a company has developed a successful, great brand experience there is no reason in risking that by cutting down on the quality of your products and services. When a company is running a service there is usually give dimensions that quality is based on, the first being reliability which is the need to make sure the service is being performed dependably, and accurately. The second dimension is tangibles which are things like physical facilities, equipment, personnel, communication materials, etc. The third dimension is responsiveness, as the company needs to make sure they are giving the customer the most adequate service, as well as promptly giving that service. The fourth dimension is assurance, which is when a company conveys trust and confidence so the consumer does not have to worry about their service being completed. The last dimension is empathy; because consumers do not want an uncaring person handling a mistake when they are stressed enough, but much rather have a caring employee deal with the matter. All of the quality dimensions are really focused around keeping your product or service where it has been without raising costs, as well as keeping a healthy customer service sector on board to work through troubling economic times where consumers do not want to worry about services that have been loyal to them in the past. (Hartlet et al., 2008, p. 34,36,121) (Hollis, 2008, p. 3-4)"
Abstract This paper explores the recession that the United States is now experiencing, and how it affects everything from large business like the airline industry to paying for tonight's supper . The author also discusses how we can prevent or slow down future recessions. The paper focuses the recession on a microeconomic scale, applying it to the author's own Western Kentucky.
From the Paper:
"The recession has impacted almost everyone in our surrounding community, whether they were impacted directly or indirectly. It has impacted local small businesses, large industries and companies, as well as individuals and families. All people in the economy are impacted by a recession. However, from the current information that I have obtained, it looks as if the economy is on the rise and will soon be back to normal. Recession is a serious issue, but hopefully our current let down in economy has been a learning experience and next time we will be better prepared and can prevent an equal disaster."
Abstract This paper hypothesizes that the economic difficulties currently encountered by the United States are not just a temporary shortage but rather represent the path to recession and that the economic recession in the U.S. not only affects the citizens of America but also citizens of other countries. The author describes the use of secondary data as the data collection plan. This data is presented in bullet point format. The paper concludes that this data is valid; thereby, the author concludes that the U.S. recession does effect the global economy.
Table of Contents:
Introduction
Research Hypotheses
Data Collection and Organization
Data Collected on U.S. Economic Status
Data Collected on the International Impact of the American Recession Validity of Data
From the Paper "The employees in the foreign countries directly working with the American multinationals will also be affected as the payment capabilities of the U.S. organizations will decrease; ergo, the outsourced jobs could also become reduced, generating decreased living standards and increased unemployment rates in the foreign countries.
"The global growth was based on large amounts of liquidities, held by the American banks as a results of corporate deposits - money derived from consumers' purchases."
Abstract This paper addresses the question of whether the present recession in the U.S. will be aggravated by the Sept. 11th attacks. The paper looks at how the collapse of the "Internet Economy' in early 2001 which lead to decreased spending and consumer confidence even before 9/11, is causing the Federal Government to work double time to ensure that the US economy is spared an even greater blow than it has already experienced. The paper then examines some of the options available to the government in its efforts to best ensure a return to prosperity.
From the paper:
"One of the most obvious victims of the terror attacks has been consumer confidence ? which was already shaky in the light of the economic slowdown in the months before September ? a slowdown this week confirmed as the economy was declared in a recession back to March...
The Fed's generally positive assessment of the U.S.'s $10-trillion economy last year has shifted, in part due to the terrorist attacks and in part due to the softening economy, which itself must be seen as in part caused by the massive Bush tax rebates that have caused the federal surplus to vanish like mist in the sunlight. Last year at most of its meetings last year it maintained the Discount Rate, this year even as the economy began to slow down, a fact that for the Fed was mitigated by its warnings about the inflationary posed by the nation's tight labor market (the jobless rate continues near its lowest level in a generation) and a sharp rise in energy prices.
The absence of such key economic indicators showing a slowed rate of growth last year prompted the Fed to maintain or raise its Discount rate, just as the presence of a number of economic indicators (such as high unemployment, falling sales of new homes or other indications of disinclination toward consumer spending and a general decline in leading economic indicators that predict how the economy will likely fare in three to six months? time) have this year prompted the Fed to lower its Discount rate. As the high-tech sector continues to disintegrate, consumer confidence continues to fall and the recession has been made official, observers now wonder exactly how low the Fed can go."
From the Paper ""The Fed's generally positive assessment of the U.S.'s $10-trillion economy last year has shifted, in part due to the terrorist attacks and in part due to the softening economy, which itself must be seen as in part caused by the massive Bush tax rebates that have caused the federal surplus to vanish like mist in the sunlight. Last year at most of its meetings last year it maintained the Discount Rate, this year even as the economy began to slow down, a fact that for the Fed was mitigated by its warnings about the inflationary posed by the nation's tight labor market (the jobless rate continues near its lowest level in a generation) and a sharp rise in energy prices. "
Abstract This paper discusses and reviews an article that appeared in "The Economist" entitled "A Necessary Evil - Should We Learn to Love Recessions?" The paper describes the content of the article and the argument within it that recession may be necessary. The paper defines recession and discusses its implications, according to the article.
From the Paper "You may be asking yourself what does recession have to do with inflation and unemployment and is there a relationship between recession, inflation and unemployment. In the 1950s, the Phillips Curve appeared to indicate that policymakers could trade higher inflation for lower unemployment. Experience showed later that although inflating the economy could lower unemployment at least as high as before and rising inflation as well. After that realization, economists came up with NAIRU (non-accelerating inflation rate of unemployment). NAIRU is the rate of unemployment below which inflation would start to accelerate. However, this is not always the case. In the late 1990s, in both the U.S. and the UK, the unemployment rate fell below what most economists thought was the NAIRU, yet inflation did not pick up. As a result, some economists argued that technological and other changes brought upon by the new economy meant that inflation no longer existed. However, traditionalists felt that inflation was only resting (The Economist)."
Abstract This paper examines the latest economic data in the United States to examine whether the current situation can be called a recession and discusses what steps should be taken to prevent a recession.
From the Paper "As with basically every other nation in the world, the United States has had it's share of recessions, the latest of which, according to the National Bureau of Economic Research, began in March of 2001 (Irons). This came after an expansion that lasted exactly 10 years, making it the longest expansion recorded by the NBER (Hall). Many questions can be posed concerning our current recession. For example, what exactly is a recession, what are its indicators, how has this one been affected by the events of September 11, and what can boost our current economy and prevent recessions in the future?"
Abstract This paper provides an in-depth look at the Japanese economy before and after the collapse of the Tokyo stock-market which occurred at the start of the current recession. It shows how Japan was considered to be the perfect economy and idealized by the West with regard to its statistics on growth, unemployment and productivity. Causes of the collapse are analyzed. The writer presents many statistics about the current economic state and looks at the government's plans to boost the economy.
From the Paper "The revisionists asserted that, in contrast to the open-market capitalism of the "Anglo-American" model, Japan practiced a unique form of state-directed insider capitalism. Under that model, close relationships among business executives, bankers, and government officials strongly influence economic outcomes. By strategically allocating capital through a tightly controlled banking system, they argued, Japan would drive foreign competitors out of sector after sector, leading eventually to world economic domination. (Thompson, 1997)
"Sooner or later, the United States must come to grips with the fact that Japan has become the leading industrial nation in the world. The Japanese have the longest life span. They have the highest employment, the highest literacy, and the smallest gap between rich and poor. Their manufacturing products have the highest quality."
Abstract This paper presents a research proposal to investigate how the current US recession will effect the global economy. The paper relates that the research will include a review of literature focusing on expert financial forecasting in the wake of the current market, as it is reflected by historical recession events in the US. The paper also describes the importance of the study and the methodology.
Table of Contents:
Introduction
Statement of Problem
Purpose of the Study
Importance of the Study
Methodology
From the Paper "Summers and others then contend that a severe reduction in government spending is called for to reverse the effects of an extreme situation. Yet, this answer does not necessarily resolve the reduced consumer confidence or the level of unemployment that has again grown, as is expected in recession years. It is therefore essential that an understanding of potential global reverberations be gained by current and demonstrative research and literary support by experts in economic forecasting The problem of this research is the essential lack of understanding of the global impact of the current US recession."
Abstract The paper relates that as the major economic engine in the global economy, any major spikes in the U.S. economy will have concomitant effects on the global economy as well. The paper then discusses how the rising cost of energy has emerged as one of the most important factors in the debate over the relationship of the U.S. economy and the larger global economy. Next, the paper examines growth patterns in the global economy and identifies the impact of recessions in the U.S. on the global economy. In addition, the paper explores current and future economic trends and reveals that developing nations in particular appear to be most vulnerable to recessionary periods in the U.S. economy.
Outline:
Introduction
Energy, Energy, Energy
Asynchronous and Synchronous Growth Patterns in the Global Economy
Identifying the Impact of Recessions in the U.S. on Global Economy
Current and Future Trends
From the Paper "Because resources are by definition scarce, it is not surprising that energy has emerged as one of the most important factors involved in the current debate over the inextricable relationship of the U.S. economy and the larger global economy in which it competes. As many cities across the country witness $4.00-a-gallon-plus gasoline today, the predictions made by Verleger (2006) may seem eerily accurate, but still painful as the skyrocketing costs of energy can reasonably be assumed to contribute to downturns in economic growth. As this author cautioned two years ago, "In 2006, inflation rates may rise to above 5 percent in the United States if economic growth continues at current rates, even if the dollar holds its value. Such an increase in inflation would be caused by economic growth that would pull oil prices to $100 per barrel" (Verleger 16). Indeed, among the constellation of economic metrics that tend to influence recessionary periods and the ripple effect on the global economy are these rising energy costs."
Abstract This paper studies how businesses are affected in times of economic recessions. The paper discusses globalization and how it has brought about the liberalization of economies and the interconnectivity of national economies. The paper also explains how this means that risks and effects can travel more quickly. The author characterizes economic recession as a decrease in the rhythm of economic growth in a country and gives suggestions for how businesses can combat the contraction of growth and decrease in consumer spending.
From the Paper "Outsourcing to India and China has become the apparent optimal solution to resolve high labor prices in Western countries. In an economic recession, along with the movement of products and services to third countries, labor demand will also move to these countries. The only potential problems that may arise are related to the cultural differences with these third countries, as well as with the managerial differences and inaptitude in this sense of many of the managers in India, for example. This can generally be solved with training sessions, with the presence of a Western manager among the team, who can also play the role of a trainer, etc."
Tags: research and development, financial markets, outsourcing investments
Abstract This research considers the impact of a future global recession on Asia, with a particular emphasis on Japan, Thailand, China and Indonesia. While specific impacts (including those on income, savings and unemployment, among others) are considered separately in the following analysis, the writer explains that these effects would occur simultaneously as various parts of the economy are affected.
From the Paper "In the early part of the twentieth century, it was thought that individual economies were insulated from downturns in economies located elsewhere in the world. However, the Great Depression of the 1930s demonstrated that even at a time when globalization was considerably less prevalent than today, there were global ramifications to downturns in economies. Today, economies are more closely intertwined than at any time in the past, with trading blocs (such as the European Union) bringing together the economic interests of some nations. Technology has also made it possible for investors in one nation to become owners of companies located in another nation, and the import and export of goods has also increased to substantially high levels. Even currencies are more closely intertwined than at any time in history, and some countries have taken the extraordinary step of tying their currency to other more stable currencies (such as the American dollar)."
Tags: japan, thailand, china, indonesia, income, savings, unemployment
Abstract The paper explains that there are serious imbalances in the world economy and this could have international effects. This paper analyzes the seriousness of this impending adverse situation especially for developing countries and discusses whether as a consequence of this, a global recession is inevitable. The writer explores global current account imbalances and evaluates different views on the causes and consequences of the imbalances. Finally, the paper discusses the various macroeconomic policies and shocks that might remedy the imbalances.
Contents:
The Trans-Pacific Imbalances
Global Re-balancing
Concluding Remarks
From the Paper "The present phase of relatively fast growth in the developing countries is driven principally by strong global demand, especially, originating mainly in the US. This is further fuelled by the Chinese economic growth. During 1980s and 1990s, most developing countries embraced the market-oriented reforms agenda with the expectation that with this approach they will be able to integrate better with the other economies of the globe. The agenda included liberalization and deregulation at the national level and opening up through competition at the global level. Different countries advanced in this direction to different extents. However, after the East Asian Crisis of late 1990s, the approach of the affected countries changed and they started accumulating foreign currency, mostly dollars as a measure of insurance against any future probable risks and looking to the rise in the oil prices in the international markets. This is also a result of currency manipulative monetary policies of some of the countries like China. Many of the countries developed current surpluses which used to be mostly in red. However, the main sources of the inflow were the increasing trade surplus and FDI."
Abstract This paper discusses the various factors that contribute to the recessed current condition of the liner market. The paper focuses on factors such as the over capacity and oversupply of tonnage, the global economic turmoil, the increased competition, the technological improvements, the increased operators logistical responsibilities, the inability of the conferences to stabilize the freight rates and play a price setting role as well as how the operator's difficulty to fill up the space of large container vessels force the liner operators to negotiate higher freight rates.
Table of Contents:
Introduction
The Freight Market
The Fleet
Liner Operators Additional Responsibilities
Conferences and their Function in the Liner Market
Intensification of Competition
Impacts of Operators' Consolidation
Supply and Demand; will Freight-Rates Fluctuate more?
Why do Liner Operators and Shippers have to Debate?
Conclusion
From the Paper "In the current market environment, shippers remain concerned about the viability of ocean carriers, specifically their ability to maintain adequate service levels to handle containerised export and import needs. Virtually all shippers believe that carrier revenue increases would be acceptable to assure continued viability of service. The obvious revenue enhancement mechanism available to carriers is collective initiatives through talking agreements benefiting from statutory antitrust immunity such as the West Coast Transpacific Stabilization Agreement (WTSA), subject to agreements filed at the Federal Maritime Commission (FMC). However, even with the antitrust immunity which allows carriers to collectively discuss means of increasing revenues, the market conditions ultimately still control the fate of any joint carrier initiative. The result is that recently several efforts have been announced but then withdrawn in the major trade lanes--the transatlantic and transpacific. An alternative to carriers' collective rate discussions and increases is collective capacity control and reduction. Reduced capacity translates into higher rates if the carriers adhere to the arrangement set by membership in a talking agreement. Shippers vigorously opposed capacity management because it does not reflect market forces."
Abstract The paper explains how the recent appointment of John Bolton as the US ambassador to the UN by President Bush through the use of "recess appointment" powers has evoked heated debate. This paper explains the "recess appointment" powers of the President as outlined in the US Constitution, discusses Ambassador Bolton's qualifications for the position and analyzes whether the appointment was a "good" use of the recess powers. The paper concludes with a personal view that Bolton's recent recess appointment is the latest in the long series of attempts by the executive to undermine the delicate framework of checks and balances that are at the core of American democracy.
Contents:
Recess Appointment
Ambassador Bolton's Qualification for the Appointment
Was Bolton's Appointment as Ambassador to the UN a "Good" Use of the Recess Power?
What Do you Think About the Recess Appointment Power?
From the Paper "Recess appointments are authorized by Article II, Section 2 of the US Constitution which states: "The President shall have Power to fill up all Vacancies that may happen during the Recess of the Senate, by granting Commissions which shall expire at the end of their next Session." The framers had included this provision in the US Constitution since they had anticipated that vacancies of important government officers such as Ambassadors, Public Ministers and Consuls, Judges of the Supreme Court and District Courts, could fall vacant during a recess of the Senate. As clearly stated in the law, the Senate must ratify the appointment by the end of the next session [emphasis added], or the position becomes vacant again ("What is a Recess Appointment?" 2005)."
Abstract A look at the current recession and how it could be avoided. This paper uses quotes and facts about historical U.S. recessions to discuss the current recession. It sheds light on why the U.S. headed towards the recession and describes in detail how it got into this recession and what needs to be done to get out of it.
From the Paper "Talking about a recession on Wall Street is like telling your wife she has put on a little weight, it just shouldn"t be done. Although this holds truth, the topic has been difficult to avoid over the past six months. After nearly ten years of financial growth, many economists believe that the U.S. economy may be poised for a recession. While many want to point the finger at certain prominent citizens or political groups, a recession can"t be blamed on a single person or action. The most important question is what actions can be taken to avoid a recession. It could be difficult, but there are many different procedures that can be taken to keep our economy on the road of economic prosperity."
