Global Economy and Decreased Sales

Global Economy and Decreased Sales

The article discusses the overall world economy and its affect on business sales. It includes some examples which shows decrease in sales. Some Economic principals are discussed which helps in better understanding of the article

In this article the affect of overall financial crisis is discussed along with the impact on sale of businesses. Now a days the economy of every country is seqused and they are having tough time to recover. We can take example of Dubai which is badly hurt by the economical threshold and still waiting for stability in their economy. They invested a lot in their Infrastructure i.e Buildings, malls and the Giant Burj Khalifa. But now no one is willing to buy or invest in Dubai in its infrastructure. Investors are thinking to invest their money in such an environment which leads to profitable share. Thus these factors contribute to decrease sale of Buildings, Shops and Malls in Dubai.

In some countries we have seen Bankruptcy in the Industrial as well as in service sector. Also job trends are also decreased by the economical crunch. The Graduates are jobless as striving hard for survival. Middle class are on of the main affecties of it as the are in the middle of social class in which they want to be rich not poor but the economic crunch has let the down. 

The businesses suffered a lot as economy crunches down. Lets take an example of a car dealer. When economy was stable and investment was in by investors, people buy or change their cars frequently and the car businesses was running smoothly. But within last two years businesses suffered a lot as people started to buy less and want to maintain status Quo within their products which leads to decline is sales.

In some countries Like PAKISTAN there has been economic, political as well as Energy crises which leads to declined the overall sale of its major Industries like Textile and Cotton. The purchasing power Parity of people in Pakistan is too low that a day wage of a person is Rs 300. So in this small amount  he/she can’t think to buy new stuff or live a luxury life. He has to maintain status Quo with his existing state and what he can have with it. He would think Thousand times to purchase a new cloth for him. He would say that i m Happy with the current situation of mine.

Conclusion:

In the end i have reached to the conclusion that overall economic crunch has affected many countries all over the globe as people have limited resources to spend which leads to declined in sales of many businesses.