Financial Crisis Causing New Trend In Consumer Spending

The American economic crisis and personal security fears appear to be the driving force behind a recent surge in the sale of a number of consumer items, one of the most surprising of which is household safes.

Safe retailers and manufacturers had been reporting a dramatic increase in sales beginning with the start of the economic crisis, then elevating sales again as the market continued to dive.

Some manufacturers have reported up to a 50% increase in sales over this time last year. Despite the state of the economy and the negative effect on spending in general, there are a few markets that have seen an increase in sales.

Increases in demand for products like household safes, home electronics and firearms appear to be directly linked to the economic crisis. The Consumer Electronic Association has predicted that sales of certain electronics will increase despite the drop in allover consumer spending.

The CEA believes that people will spend a little money on home entertainment such as video games and televisions instead of a lot of money on outside dining and entertainment. Guns are another product that analysts are watching. Historically, the sale of guns rises during economic hardships. This is usually attributed to people’s fears of civil unrest and higher crime rates.

However, the surge in household safes may be unique to this particular economic crisis. The government seizure of Fannie Mae and Freddie Mac as well as the sale of financial heavyweights such as Merrill Lynch, Wachovia and Washington Mutual appear to have consumers fearing for their personal savings and investments more so than in previous economic downturns.

Authority Safes Sales Manager Janel Crisp has spoken with several customers expressing their concern for the economy and personal security. “We’ve had a lot of new customers saying they just want something where they can store their important papers, cash and jewelry, sometimes even gold in. They just want that sense of security that their vital possessions are nearby and safe,” she said.

This appears to be the trend throughout the market as more consumers are feeling the blow to their sense of financial security stemming from the collapse of financial institutions.

According to Crisp, since the start of the economic downturn began, sales have risen in specific areas, such as larger and stronger safes. “There has definitely been an increase in people asking for larger safes, over 500 pounds, and safes with burglary and fire protection ratings,”she said.

Without knowing when and how the economy will turn, there’s no way to know what kind of other economy-based consumer trends will be appearing. Until then, it seems consumers will continue to purchase the items that increase their sense of security and help them ride out the crisis.

Michael Bloomberg Investment Strategies

Michael Bloomberg is the world’s eighth richest man according to Forbes 400 released in September 2008. He is one of the most successful businessman/politician in the world. Do you know where his success came from. Was it because of business strategic planning or just a plain luck?

Up to do this time, Bloomberg holds 88% of the ownership of Bloomberg L.P., a financial software company. He is also the mayor of New York and spent two terms for the city. In 1981, Michael was fired out of the Salomon Brother where he served as the general partner. He headed the equity trading and the systems development. Before he stepped out of the company, he was given $10 million dollar severance package. With that money on that same year, he started his own company. It was called the Innovative Market Systems. He had his first customer in the name of Merrill Lynch. The company installed 20 Market Master Terminals and invested $30 million to the IMS. The company was then changed to Bloomberg L.P. Few years after 5000 terminals have been installed. The company also expanded their business by launching Bloomberg Tradebook, the Bloomberg Messaging Service and the Bloomberg newswire. The company continued to prosper and the rest is history.?

With recognitions at hand, Michael Bloomberg became one of the business tycoons in the world. He is one of the highly admired business people. Even though he already resigned as the president of the company to serve the people in New York city, his legacy still prevails among business enthusiasts. His investment strategies are inspiration for businessman and business service providers. For those who are eying global business development, they want to know Bloomberg’s business approaches. But does anybody here knows his secret? None.?

His investment strategies is distinct and defined. The success of Bloomberg LP is directly attributed to Michael’s innovative strategies. Although they were not yet revealed to people, some sort of methods that he used were named as his secret to progress. He once worked as the head of equity trading in Salomon Brothers. And he used it on his new business. Equity trading is the buying and selling of stock shares Shares in large publicly-traded companies are bought and sold through one of the major stock exchanges, such as the New York Stock Exchange, London Stock Exchange or Tokyo Stock Exchange, which serve as managed auctions for stock trades. Stock shares in smaller public companies are bought and sold in over-the-counter (OTC) markets. A simple yet effective type of investment that Bloomberg used for his little capital.?

From a capital of $10 million, he’s now making almost double of it because of his effective investment strategies. He invested much of his money on sectors he thinks beneficial to people. Bloomberg LP, which is a financial data and communications company, branched out and started a news service provider. It is now known for radio, television, internet and publishing operations. Bloomberg companies are global, multi-media based. Distributor of information services. They combine news, data and analysis for global financial markets and businesses.