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The zombies, and why we can't grow until their demise
Comments
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Oh they definitely would but what's the viable alternative? Shops that do well on the high street have exclusivity (Apple etc). If you don't have that then you can't compete on price against supermarkets or online sellers.
The Apple example is brand purchasing the same could be said LVMH/Miele et al where people are willing to pay a premium."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0 -
grizzly1911 wrote: »The Apple example is brand purchasing the same could be said LVMH/Miele et al where people are willing to pay a premium.
There was an interesting article about Apple, either today or yesterday from a former exec of theirs.
He is of the opinion that they need to evaluate their "brand premium" or get left behind in emerging markets.
It will be interesting to see if they, and others, can balance that "premium brand image" in the West and also chase the emerging market.0 -
There was an interesting article about Apple, either today or yesterday from a former exec of theirs.
He is of the opinion that they need to evaluate their "brand premium" or get left behind in emerging markets.
It will be interesting to see if they, and others, can balance that "premium brand image" in the West and also chase the emerging market.
They are probably right. Interestingly iphone 5 demand appears to be down too maybe they have pushed the boat as far as it will go?
I am surprised they have held up so well for so long, in such a competitive fast moving environment, but I am not a fan."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0 -
grizzly1911 wrote: »They are probably right. Interestingly iphone 5 demand appears to be down too maybe they have pushed the boat as far as it will go?
I am surprised they have held up so well for so long, in such a competitive fast moving environment, but I am not a fan.
Obviously charging more for premium branding is sustainable only if the product is measurably superior, or the brand name cachet is attractive enough in terms of bestowing status on the owner. I'm not a fan either (the only thing of theirs I own is an ancient iPod), but my understanding is that other makes have fast caught up with Apple on product function and quality. They do have the option of offering unique lower cost products in the developing world as long as they are competitive with other makes.No-one would remember the Good Samaritan if he'd only had good intentions. He had money as well.
The problem with socialism is that eventually you run out of other people's money.
Margaret Thatcher0 -
Graham_Devon wrote: »History would suggest the housing market can't recover without first failing. Maybe some of the wise members from the club HPI association opposite me could inform me as to why it can?
A lot can change in 14 months.0 -
I thought the housing market had fallen and, in real terms, continues to fall.
Transactions up, more FTB's getting deposits together, and lending up.
Maybe the market has fallen as much as it's going to and is now recovering?Maybe.
The housing market in the US is definitely recovering. Housing starts are up over 20% YoY (latest figures to come in the next few days) and building permits issued are up over 25% YoY. Case-Shiller 10 and 20 City single family averages (kinda like the UK's Land Reg HPI figures) show small real (inflation adjusted) returns.
Where the US leads, the UK often follows. Just sayin'.
These two chaps sound like bright sparks.0 -
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HAMISH_MCTAVISH wrote: »Property prices in the US are rising because the US has at least partially fixed it's mortgage credit crunch.
$40 BILLION dollars a month of QE into RMBS will do that.
And of course, a recovery in the housing market is also feeding into a recovery in the wider economy.
The UK has not yet fixed it's mortgage famine, although FFL is a bit better than the previous tinkering around the edges there is still a long way to go, so we remain in the doldrums economically. But with an election coming in just 2 years, the current situation will not be allowed to continue much longer.
:money::money::money:“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
A business model like Costco where you pay for a membership but then get lower prices. The membership cost stops people just walking in to window shop before buying online; worst case is that people pay a membership fee and then don't buy anything in which case you still have the fee.
My comment about shopping centres is based on a model where, for example, the Trafford Centre charges £10 per person to enter but receive a £10 voucher/card in return that can be used at stores inside. The £10 would then be distributed to stores in the centre or used to decrease rental costs.
As you would have to pay £10 to get into the centre it would discourage people who just want to hang about without spending (improving staffing for genuine customers) and would discourage people from going in to try products without buying (as they are paying £10 to do so).
To an extent this is already happening with parking charges.
At many places in the US you pay to park your car, but if you buy something in a store they will "validate" your parking so that you don't have to pay. If you just want to window shop, then you have to pay to do it in the form of your parking charge.
Whether any of that charge goes to the retailers, I don't know. Over here of course we pay through the nose for parking and certainly none of it goes to the stores in the shopping centre. Maybe that has to change.0 -
My comment about shopping centres is based on a model where, for example, the Trafford Centre charges £10 per person to enter but receive a £10 voucher/card in return that can be used at stores inside. The £10 would then be distributed to stores in the centre or used to decrease rental costs.0
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