Take us out of the recession...

B2k

A little lighter topic about the recession..

So while we're all here sitting around bitchin and moanin about the government and the like and while we're waiting for "China or the US" to do something to boost the worlds economy what ideas could you come up with to boost our own economy or even what business venture would you suggest that could succeed in your own locality at this time. For example, I think the PC was invented in an era of recession as with most great inventions but the boards.ie ideas aren't going to be as groundbreaking!

I always think the town I live in (pop. 2000 approx) could do with a cinema as neither of the two bigger town around it have a cinema either, and in times like this where people still want to enjoy a saturday night out but have not as much as they used to have, a cinema would certainly succeed!

Ideas....?

(Maybe this is posted in the wrong forum..???)

Diarmuid

The whole problem at the moment is that consumers are not spending. So if you come up with some idea, the chances are no one wants to spend their money to buy it.

BTW I think there is a reason there are less cinemas around now. A lot of people have 37+inch tvs with surround sounds and HD DVDs. Why would they pay €10/head to watch a film in a less comfortable surroundings. I know I'm not interested in going to the cinema myself. I can spend the €10 it costs me to go, on a DVD and watch it a film (granted not the latest release) in the comfort of my own home with my family.

johndaman66

Not to be turning the thread into a rant and a moan against the Government as the OP suggested but if homegrown, indigenous industry was supported by the Government and the IDA it might be a good idea. Take for example the two young Limerick guys who invented some piece of software to make purchases more secure on ebay some time back. Due to the fact that the Government or the IDA did not provide them with any assistance in developing their idea they had to take it to either Canada or US where they now employ a sizeable number of people I believe. I do not know the full ins and outs of the story so stand to be corrected on any point. But think I have the general gist of it right all the same. Point is that we are very reliant on large multi-nationals to an unhealthy extent perhaps and more should be done to support and grow homegrown industry and ventures and not just the greedy friends of Fianna Fail property developers.

Take Dells departure in Limerick for example. The affects will undoubtly be devastating and many thousands will indirectly loose their jobs as a result, not just the 2,000 odd that were employed in Dell.

Saabdub

People are spending money, I see people money spending in shops every day. I'm spending money. The thing is people aren't spending money on the big ticket items that the Government has been deriving so much revenue from. They've got smart. All that talk about rip-off Republic has sunk in. And raising VAT didn't help. This is affecting certain sectors like construction, car and white goods retailing, etc. Once prices return to a sustainable level these sectors will start to trade again.

In the meantime any good or service that fulfills a real consumer need and is of above average quality, retails at an average price but has a below average cost of production should be successful. This is Porter's classic cost leadership strategy. Companies that follow this strategy like Hyundai, MacDonalds, Walmart, etc. are proving very successful at the moment. An Irish example, look at the way Board Gais has begun to eat into the ESBs market share by offering exactly the same service at a discount. An examination of the sectors of the Irish economy should throw up lots of opportunities for new service entrants and new products.

Saabdub

Hanley

Saabdub wrote: »

In the meantime any good or service that fulfills a real consumer need and is of above average quality, retails at an average price but has a below average cost of production should be successful.

+1

Really good post.


Anyone see the spin they put on Lenihan's admission that raising VAT was a mistake? They (the media) said it cost the country €700m in revenue lost to the north.

I sincerely doubt it. I would guess that €700m was spend up north over the xmas period, but to say the .5% increase in the Irish VAT rate is what caused this is fcuking disgusting.

The more I read and hear from the media, the more I realise they're self serving white van democrat placating ****.

I know people say we can't talk the country into a recession, but the crap the media is coming out with really isn't helping peoples confidence (in the system, government and economy in general).

thebang

I lke the tone of this one because it is a bit more postive than things I have been hearing lately!

This may seem like a general point, but we slap ourself on the back for being entrepreneurial, but I think it is worthy to consider how much we really encourage it.

I watched an interview from the president of Stanford University in the US, and it really strikes me how students there are given the support and confidence to run with ideas. From what I can see we have some of this in UCD and Trinity from what I can see.

However, from the outside though it seems that this sort of culture is fostered more in some college courses than others - I talked to a biochem PhD from UCD the other day, and he said none of his colleagues express an interest in starting a business in the future.

I have seen a few example of engineers and software developers springing forward with bright ideas at a young age. But maybe it is simply because these things are easier to 'scale' ( not capital intensive and replicated i.e some software), and are not viable in other disciplines.

My brother and his friends were architects and they were also given none of this Stanford mindset in college.

Meanwhile we celebrate someone like Barry O Callaghan (€6 billion in debt) as a visionary when he seems to have created relatively little organically.

I think we have plenty of bright young people, but we just always need to consider if we are giving them the confidence and expertise.