Wednesday, February 05, 2014

Business faces hard facts. . .plans accordingly

This week an amazing report on the shrinking middle class in the United States hit the streets via The New York Times.  The report was based on analysis done, not by social scientists or liberal political talking heads, but by business leaders and marketing strategists.

These two paragraphs set the tone for the article:

As politicians and pundits in Washington continue to spar over whether economic inequality is in fact deepening, in corporate America there really is no debate at all. The post-recession reality is that the customer base for businesses that appeal to the middle class is shrinking as the top tier pulls even further away.

If there is any doubt, the speed at which companies are adapting to the new consumer landscape serves as very convincing evidence. Within top consulting firms and among Wall Street analysts, the shift is being described with a frankness more often associated with left-wing academics than business experts.

Read the entire report here.

Clearly, this sort of trend alerts us to the growing numbers of people who stare poverty in the face on a daily basis.  We must work smarter.  We must become bolder.  We turn away from systemic, collective strategies to our own and our society's peril.

Are we simply asleep?


Anonymous said...

Didn't Obama say he would fundementally change the country? No surprise at all. Welcome to the welfare state.

Anonymous said...

I wish it were as simple as being asleep. The truth is, a large segement of the population only voted for the President on the basis of race. They are ignorant of what has made our country great. Just like the alcoholic sometimes has to sink to rock bottom before he wakes up, our country may have to sink to a third world country before the people will rise up.

Larry James said...

With all due respect, the widening gap between ultra wealthy and the waning middle and under classes is not the result of the action of our current President. Remember 2088 and the lack of regulation leading up to it? Recall the "off shoring" policies of most U. S. manufacturing companies? The government is not driving the gap.

Anon 1:23, again with all due respect, it could be more easily said the a large segment of the population only voted against the POTUS on the basis of race.

Anonymous said...

I think that people who would never vote for Obama would vote for Ben Carson in a minute.

Anonymous said...

Actually, too much regulation led to "off shoring" as you call it.

Larry James said...

Anon 6:23, actually it was not too much regulation--seriously? It was greed.

Anonymous said...

Corporations are in the business to make money for their stockholders. If they do not make a good profit then ordinary people will not invest in their company.

Middle class businesses may be going out in New York but not in Texas. Places like Olive Garden and Red Lobster are doing a thriving business 15 minutes from where I live. The thing is, the cost of living in New York, especially for apartments, is out of sight. It is no wonder people can't afford to eat out. Probably a meal at these places is twice that of Texas, so even middle class will probably not eat out as often. That leaves the poor, I don't know where they eat.

Anonymous said...

What is income inequality? Should we all get paid the same regardless of our job, or absence of a job?