The Herman Trend Alert|
July 9, 2008
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Some enterprises are thriving through this period of economic crisis.
First, the sales of fuel efficient, mostly small cars are booming. Toyota dealerships have only 15-days inventory of Corollas on their lots. In May, Honda's modest Civic became the number one selling car in the United States.
Logistics alternatives to diesel-consuming trucks that are more efficient at moving goods, like railroads, are also doing well. Plus, fed up with increasing delays and cancellations of flights, passengers are choosing rail travel over air. Expect this trend to increase; the US rail lines will borrow experts from Canadian Pacific and Virgin to learn how to deliver extraordinary passenger experiences.
Domestic food producers, especially domestic cheese producers are reaping the benefits of the falling dollar. Rapidly rising prices for imported products are prompting customers to look for domestic substitutes. Farmers now find their products in increasingly higher demand.
Local amusement parks will also do well in these challenging economic times. The parks are enjoying the benefits of people taking what are called "staycations"---vacation time off taken close-to or at home. Until the economy improves, expect to see increasing numbers of people choosing staycations.
The National Sporting Goods Association (NSGA) reported that sales of bicycles, related parts, and accessories was about USD $6 billion in 2007, up from USD $5.8 billion in 2006. In 2008 and beyond, more people around the world will choose this earth-friendly mode of transportation in lieu of automobiles.
Another thriving industry category is the entire service industry around prosperity coaching, debt reduction, and financial counseling. "As costs rise faster than salaries, people are looking for relief", said Belinda Fuchs, founder of OwnYourMoney.com. Fuchs is one of a growing group of professionals providing seminars and coaching to help clients "live debt-free and finance their dreams". Our forecast: a growing demand for these services by cash-strapped consumers seeking answers.
And of course, no discussion of industries bucking the trend would be complete without mentioning the oil companies and their record profits. However, the country of Brazil is in the best of all positions---its surveyors recently discovered an area off-shore that may be the largest find in 30 years.
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