Culture Changes From Economic Downturn
My grandfather saves boxes; all types of boxes. Before he entered the nursing home if he emptied a cereal box, he saved the empty box. Shoe boxes…all saved. He loves boxes. When asked why he saved so many boxes he would reply, “You never know when you might need them.” That is just one example of how his life was changed by surviving the depression. He was less trusting of others to care for him and it gave him a strong work ethic to provide for his family.
Let me be very clear. I don’t believe we are headed for a depression. I believe the recovery that took 20 years early last century will happen much quicker in this economy. We have safeguards in place that weren’t in place then. We have a more global economy. Change in life-cycles naturally occurs faster today than last century.
Regardless of where we are today, however, and where we were in the early 20th Century, there will be changes in the way people think, act, and respond to the economy. Anytime you have this much media attention and this much anxiety paradigm shifts are sure to occur. I don’t know if people will begin to hoard boxes again, but a crisis that has gained this much attention and a correction of this magnitude is bound to have lasting impacts on our society. Not all of these are necessarily bad; but some will be.
Here are some random thoughts and observations I see as possibilities. These are strictly my opinions. Feel free to add your own.
1. Fancy gimmicks and advertising won’t be enough to lure customers. Companies will have to earn their trust.
2. Community banks stand to fare better than the large, corporate banks.
3. Cash is back. Southwest Air and Frontier Airlines quit taking cash onboard flights. Will they re-think this policy now?
4. Creative financing will be important for growing companies. Look for a rise in independent venture capital.
5. People will be more conservative with their resources. This will impact the places we shop, the products we buy, and the service we expect to receive.
6. Look for smaller, less ornate homes to make a comeback. The creative builder will cater to this market offering more for less.
7. People will value those things they can trust and that are lasting. This bodes well for families.
8. Mergers will gain steam, as will takeovers. The strong will survive and thrive. (You may even see this happen in the church world.)
9. In order to build customer loyalty and trust, look for “real” customer service to return.
10. Look for the return of things from the past; such as hair styles, fashion, and décor.
11. Music lyrics from new songs will incorporate some of the emotions people have experienced over the economy.
12. Wal Mart and other discounters are positioned well for growth. Other discounters could rise up and established retailers may transform themselves to become true discounters.
13. The risk taking entrepreneur will have tremendous opportunities in this new economy.
14. The customer is king…again!
15. We will see new government regulation in our life. Think of post 9/11 and the changes that occurred in the airports; then translate that to this economic situation.
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