Vacuum Cleaners Discussions

Early news reports in the USA are saying the London financial markets nosed dived today in the worse downturn ever.  This comes on the heels of a 4 percent drop in the Dow Jones Industrials last week alone.  Since today is a Federal Holiday in the US in observance of Dr. Martin Luther King the financial markets are closed.  Not sure what impact the London market fall will have on the US markets--have to wait to see.

What and how long will it take jaydee to realize that he needs to enter the low to middle price range vacuum market to stay competitive in the USA in the big box stores' venue?

Any news yet on the 2007 dyson sales? 

Carmine D.

Our Canadian market dropped a big whopping 605 points today.  Biggest one day drop in the last seven years.  Now, it will be interesting what tomorrow will bring for the US and Canadian markets as we are  so closely related. 

Carmine, I agree with you, if the down turn is pronounced, people will foolishly flock to the dollar stores to purchase cheap inferior products, be it vacuums, clothing  etc., which will ultimately cost them more in the long run. 

Vernon

p.s. Mole, Carmine, nice seeing both of you back!!  Venson has been doing a good job of holding down the fort!!

Hi,

This should not be taken lightly.  If money in theory is money, whether we're talking London or Podunk, Iowa, the story is the same everywhere.  When financial markets take notable dips people get to wondering -- and worrying.  The organization I'm with is very, very small and independent and as long as our corporate clients buy we'll attempt to keep on keeping on as we have during the big drop in business since post 9/11.  Yet, there are no guarantees. The corporate structures we serve do get nervous and rein in on their spending.  The whole manner of our dealing with them has changed drastically.

Throughout the city and the country, many corporate organizations are known for making staff cuts when things look slim with little wait time.  Here in New York and surrounding areas rents are high, mortgages are high, gassing up hte car is high and forget the supermarket -- food's high too.  Also keep in mind people who have to foot part or all of their health insurance.  They do indeed think very carefully as to what's necesssary.  A less expensive anything easily gets first consideration despite even the most logical reasons to aim for the allegedly "high quality" item. 

There will not be many people you can talk into a four- or five hundred vacuum cleaner when they know they have no cushion budgetwise to accomodate the expense.  Expectations can lower surprisingly when you know the first of the month's in front of you and you only have x-amount available.  And forget about credit cards as they too list high in our debt issues.

Even a stick vac can look good in comparison to the "better brands" when you have to figure out how to pay for it.  What's saved may well be thrown into the next month's mortgage payment.  In light of the many unfortunate foreclosures coming to be daily all over the country. Except for the fortunate elite with the wherewithall to drop dough or get backing for the glut of million dollar or coops and condos springing up here in Manhattan, for most rent, mortgages and basics get first attention and vacuums can wait.

Venson

 PS -- I wanted to throw this in . . .

New York work rules . . . especially within the corporate environment.

The average worker in corporate or manufacturing environments is expected to do the same as any other worker elsewhere -- obey and accept.

The average worker must give notice if he or she is about to leave an organized business. However, the business or organization you're working for is not obliged to let on in advance that it feels it must say, "Bye-bye," nomatter how long you've been there.  Why? It might not be good for the business. It might lay itself open to sabotage by those being dismissed. Meaning the employee must trust an employer but the employer has to trust no one. It is not at all unheard of or illegal for a designated party from the company to simply show up at someone's desk and say, "Sorry, you're services are no longer needed. No, don't bother to pack. We'll send your stuff to you."

Next -- no matter what, if you want to survive, come a job interview you may not make mention that the company you worked for so callously made you "redundant" despite x-years of rendered service just because things were looking a little slack financially. At your next job interview you may only say what a wonderful experience it was to work for the So-and-so Corporation and how ready you are for new challenges. (Pass a barf bag please.)

Yet . . . such things make for many thoughtful spending decisions by shoppers here and everywhere day to day.

Vernon wrote:

Hello Vernon:

Hope the Canadian market downturn didn't affect you in the pocketbook.  My sense is there is more of the same to come in the months ahead.  Sadly but I think true.

Thanks for the kind words. 

Carmine D.

Hi Vernon,

I thank you too.

Venson

HiVernon,thanks for the kind words.

GO GIANTS.........

MOLE

Another sort of hidden hurdle are the amount of 50 somethings being hit with layoffs and releases. Usually a good target for upscale products, (established/home owners/pre-retirees/with more disposable income toward product vs younger toward entertainment). Normally in better days for Co's this would usually happen only to 64+ year olds...

Looks like the "decoupled" markets coupled up again.  US markets are roiled today by yesterday's market turns in the world.  Fed dropped rates 3/4 percent.  And my dear Wife has gotten TWO telephone calls TODAY from different credit card companies, whose cards we don't ever use, asking us to contact them about lower rates.  These were recordings.  I got a similar call last week from a real live person wanting to know what the company could do to get us to use its card, which we never do.  Can you imagine? 

Then again Obama's campaign called us 3 times in 2 days for the Nevada caucus last week.  In fact one call came from the Virginia Obama campaigners who apparently tracked us down all the way in LV.  Go figure.   

Carmine D.

Hi Lucky1,

Again the worm can turn in some mighty grusome ways.

The most memorable thing I was ever taught about the workplace was to make yourself indispensable and that held me in good stead for a time.  You'd think that assessments of the value and knowledge those who have genuinely applied themselves to being good at what they do would increase with age and be acknowledged. (Weren't we constantly reminded to respect our elders?)  Now it seems to be the other way round.  Despite the fact that we all need to eat, age and experience weigh in as little in human resources departments when your past fifty with a resume in your hand.  It is has become commonly assumed that job seekers past fifty will not at all be happy working for less pay or benefits and will bolt for the next higher paying job that comes up.  That might be true if there were that many other jobs around to bolt to. 

Despite accumulated knowledge, expertise, etc., the young'uns who of course have to eat too are the hot item as they are assumed to be prepared to work more cheaply and put in longer hours and, I suppose, bear a brighter medical picture to company funded health plans. 

Well, what the heck, we've still got our good looks.  Right???

Venson

Ben Bernanke flinched and the Fed cut rates 3/4 percent.  Largest in over 20 years.  He was working Monday at his Fed office despite the Martin Luther King Jr. Holiday.  He was watching the markets fall around the world.  But............did he panic?

The Fed has its usually scheduled meeting on Jan 30.  Why didn't it wait to cut rates by a week?  [Panic?]Because the markets were in free fall on Tuesday morning and decisive and immediate action was needed by the Fed.  Did I mention its an election year?

Yes, there has been a "dead" cat bounce on the markets.  But Fed interest rate moves are done to stimulate and regulate the economy for the long term NOT the fluctuations in global markets in the short term.  

What does the Fed do now on Jan 30?  Another interest rate cut is seen by all.  Two in one week?  [Panic?]  If it doesn't.............then what?  And if it does............is it inflationary?  Stagflation.  What a combo.  Not good for home product sales like high priced big box vacuums.

Carmine D.

Hi Carmine,

Don't want to get too far off the thread but have you heard anything about a plan to reduce foreclosures by dropping the size of mortgage payments?  Someone mentioned that to me in passing the other day and I want to be sure I heard right.  I am assuming, if there is such a thing, it would apply to home owners who were in dire straits and not able to make full monthly payments.  The bank's idea being, "Why foreclose and get nothing at all since real estate isn't moving anyway?

Thanks,

Venson