Economic Conditions - Essay Example

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Economic Conditions

U.S. gross debt increased in terms of percent of GDP 7. Nominal value of the U.S. dollar against all major currencies  In looking at actual data, there was a huge economic downturn during 2008. Despite this, retailers’ sales revenue increased when compared to 2006 and 2007. There was little effect on revenue growth in 2008 compared to 2007, but there was still considerably high revenue growth. The actual revenue growth of 2008 was also higher than the forecasted revenue for 2008.   According to the analysis, the economic downturn did not affect any area of the organization. All regions showed revenue growth during 2007 and 2008 (see Table1.4). This growth indicates that the economy had the same impact on all areas and had no effect on the revenue growth of its products.  By analyzing each area’s revenue, we can look and see if each area has special customer behavior that may affect its revenue. For example, the Web region shows the least amount of revenue (see Graph1). This means that customers prefer an in-store experience over an online one. Customers purchasing behavior depends on geography, gender, age, and the factors of the market. There are other factors that affect customers’ buying behavior. ...Show more

Summary

Economic Conditions  The condition of the global economy during the years 2006 until 2008 was poor due to the global financial crisis. The economic conditions during those years were as follows:   1. Global industrial production quickly declined starting from 2007 until 2008 due to high oil prices  2…
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