A Current Major Trend To Watch:

Life-altering national or international economic events happen rarely. Each of us should approach with caution any proposition that such a life altering event is going to occur in the near future.

Trends are not easy to be aware of, since things that have a major effect on each of us individually may have little effect elsewhere!

In reality, we as very small businesses are more currently effected by trends that might be referred to as "MICRO" trends. I'll address these in another article.

Back to "LIFE-ALTERING", one or more major trends of this type are possible or even probable during the balance of this decade. Successful investment and business management on your part through any of these possibilities will require careful planning today. Attentive, ongoing management that seriously considers the possibility of calamity before the end of this decade is now crucial.

I have been looking at some of the trends that I feel will have the greatest impact on our businesses in the near future.

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A CURRENTLY FORESEEABLE TRAUMA:
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An Energy Crunch
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The world's supply of oil is rapidly being used up. Oil extraction in the U.S. peaked in the 1970's and global extraction will peak soon, perhaps as early as this year! Demand for oil continues to rise. There is no easy resolution to the conflict between rising demand and falling supply. Sometime later in this century we face the distinct possibility of running entirely out of oil, but the real impact of dwindling supplies will be felt soon.

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EXAMPLE -- HIGH PRICES
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Currently we are feeling the impact of a lack of gasoline processing capability, not a shortage of oil. However, the initial impact is very much the same -- HIGHER PRICES! Interestingly enough, in our affluent society, reduction of demand is not occurring at all.

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HOW WILL THIS AFFECT YOU AND I?
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#1 - Much higher operating costs in our businesses.

#2 - Greatly increased consumer resistance to prices - (residential, business & institutional).

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HOW TO PREPARE TODAY FOR THE FUTURE
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There is no magic formula for this beyond some key basics that must become your everyday guidelines.

We will examine some of these in some additional articles.  Why not share your thoughts in the discussion forum?

Lee