In an article that I wrote for Practical Accountant at http://www.webcpa.com/prc_issues/2009_1/30188-1.html entitled, “Money in Going Green,” I explained how greater environmental consciousness at accounting firms is increasing efficiency, generating revenue, and aiding in staff attraction and retention.
I believe this type of increased awareness is also evident in other businesses and with respect to individuals in a change in thinking and an understanding that “going green” isn’t a cause, but rather a possible and viable choice. This explains why reducing carbon footprints are being incorporated into many businesses’ long-term plans.
The economic recession is helping. Trading in gas guzzlers and, taking advantage of tax credits, and a turning to tap water are just two examples. Here are hyperlinks to four articles that conclude the economic recession is providing added support for going green: http://www.presentations.com/msg/content_display/incentive/e3i38bf3aadfb41b3f62638aed77e4ea253, http://www.cosmosmagazine.com/news/2751/consumers-going-green-despite-crisis-study, and http://www.associatedcontent.com/article/1748322/combat_the_economic_crisis_by_going.html.
Technology is playing its part as used textbooks are being sold on Amazon and second-hand reasonably priced clothing is widely being purchased at sites like eBay. This going-green trend is also evident with regard to charitable donations. Rather than throwing used appliance, cabinets, and fixtures away, those who are remodeling are making donations to charity for distribution to the needy. And there are the stadiums and restaurants donating prepared food that isn’t sold at the end of the day to charity. An article in the New York Times at http://www.nytimes.com/2009/08/16/sports/baseball/16stadium.html?_r=1&scp=1&sq=yankees%20food&st=cse describes a program that arranges for the food from Yankee Stadium to be delivered to a church for distribution following a game.
Changes in behavior and thinking are often caused by a change of circumstance. It looks like this economic recession’s impact will have long-lasting effects. It’s nice to see one of those will really benefit society long-term.
Showing posts with label recession. Show all posts
Showing posts with label recession. Show all posts
Monday, August 17, 2009
Friday, July 10, 2009
The Recession Psyche
In these tough times, understanding the psychology of human nature is paying economic dividends.
Restaurants are restructuring their menus offering specials such as “recession-busting burgers” and “bear market brisket.” There are also those frequent-buyer deals where the seventh or tenth meal is free.
Jewelry stores with sales plummeting are turning to buying gold. They and companies advertising mail-in services are promising quick and easy cash. The ads are enticing especially to those in need. Interestingly, if you go to five stores, there may be a 50 percent difference in the purchase price. This is a reflection of a buyers’ market awareness of desperate sellers.
Psychology is also seen in the limited employer-provided outplacement services for laid-off employees. Employers are hoping in part, that departing employees don’t bad mouth them hurting their reputations, and that the remaining employers’ are comforted by that benefit so their morale isn’t adversely impacted.
These psychological aspects are all at the surface. The recession is also causing deeper psychological problems. For people out of work, it is affecting their perceived self-worth. Many, at times, view themselves as failures, although they aren’t at fault. It is also affecting many of those with jobs, dramatically impacting and changing their spending patterns and investment philosophies. Many are becoming much more risk adverse and want guarantees. The growing appeal of annuities and the move from equities are proof.
There is a particular need for a greater study and understanding of human nature and psychological ramifications of this prolonged recession. How many of our parents and grandparents were identified as having a depression mentality and how did that impact their behavior and thought processes? Will there be generations similarly impacted by this recession?
In that regard, I expect businesses and professionals will be paying increased attention to understanding the psychological implications of this recession and how to capitalize on it. For example, some financial planners will incorporate so-called “financial-planning therapy” into their service package in various ways.
Restaurants are restructuring their menus offering specials such as “recession-busting burgers” and “bear market brisket.” There are also those frequent-buyer deals where the seventh or tenth meal is free.
Jewelry stores with sales plummeting are turning to buying gold. They and companies advertising mail-in services are promising quick and easy cash. The ads are enticing especially to those in need. Interestingly, if you go to five stores, there may be a 50 percent difference in the purchase price. This is a reflection of a buyers’ market awareness of desperate sellers.
Psychology is also seen in the limited employer-provided outplacement services for laid-off employees. Employers are hoping in part, that departing employees don’t bad mouth them hurting their reputations, and that the remaining employers’ are comforted by that benefit so their morale isn’t adversely impacted.
These psychological aspects are all at the surface. The recession is also causing deeper psychological problems. For people out of work, it is affecting their perceived self-worth. Many, at times, view themselves as failures, although they aren’t at fault. It is also affecting many of those with jobs, dramatically impacting and changing their spending patterns and investment philosophies. Many are becoming much more risk adverse and want guarantees. The growing appeal of annuities and the move from equities are proof.
There is a particular need for a greater study and understanding of human nature and psychological ramifications of this prolonged recession. How many of our parents and grandparents were identified as having a depression mentality and how did that impact their behavior and thought processes? Will there be generations similarly impacted by this recession?
In that regard, I expect businesses and professionals will be paying increased attention to understanding the psychological implications of this recession and how to capitalize on it. For example, some financial planners will incorporate so-called “financial-planning therapy” into their service package in various ways.
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