Economy bounces back second quarter

[woodsrider]

How the truth silences people.

 

Which truth? This thread as gone too many directions.

 

In regards to the OP, I won't go as far as to say the economy has bounced back but I will say this...

 

The company I work for supplies C components to all different types of industry...from construction, to fabrication, to manufacturing. We have customers in the appliance industry, furniture manufactures, recreational equipment, oil and gas, lawn and garden manufacturers, tier 2 automotive, medical manufacturing to name a few. We are having a record year in sales and it's not by a little. Granted we have won some substantial new business that has helped but almost all of our larger existing customers' sales are up.

 

Now I'm not saying this means anything in regards to the over all economy but I will say from what I can see things aren't all doom and gloom.

[doomer]

I absolutely disagree that obstruction is beneficial. Reach beyond and come up with workable solutions, which may involve compromise. Neither side has it 100% correct. But the Republican party is going to need to come up with platforms that the "common man" can relate to end masse. The strategy of the "Repeal, Repeal, Repeal" isn't likely to work.

 

Why do only the Republicans need to compromise or come up with workable solutions? Is that not a responsibility of both parties and ESPECIALLY a responsibility of our supreme leader to lead such an effort?

[doomer]

Name something that Dem's are "ramming through", that a plausible alternative PLAN has been proposed by Reps

 

No decision is a decision...no plan is a plan in many cases. The biggest discussion point is probably the national health debate. Obama et. al believed that there needed to be a national health care which digressed to insurance, etc. the other party did not believe that national health insurance was necessary so why devise a counterproposal?

[doomer]

Which truth? This thread as gone too many directions.

 

In regards to the OP, I won't go as far as to say the economy has bounced back but I will say this...

 

The company I work for supplies C components to all different types of industry...from construction, to fabrication, to manufacturing. We have customers in the appliance industry, furniture manufactures, recreational equipment, oil and gas, lawn and garden manufacturers, tier 2 automotive, medical manufacturing to name a few. We are having a record year in sales and it's not by a little. Granted we have won some substantial new business that has helped but almost all of our larger existing customers' sales are up.

 

Now I'm not saying this means anything in regards to the over all economy but I will say from what I can see things aren't all doom and gloom.

 

Is it because you have gained market share (ie. have competitors gone out of business or exited the industry)? Or have you gained market share because of predatory pricing or superior performance of your firm. Or, is the market experiencing a sudden growth?

 

I think the economy is mixed..some areas are doing well, others, particularly discretionary services have not recovered really since 2009. The automobile industry seems to be up and down, building realizing some pent up demand, but housing prices are not booming and real estate is a crap shoot right now. There is still an underpinning of concern because of uncertainty with governmental policy....taxes, continued stimulus and the budget. I am lucky enough to have a good job during this time, but I could not sustain the business I owned due to losses and a lack of the feeling that the situation would change in the near future..so a mixed bag for me.

[rockmom]

I'm in an industry that's seeing good growth year over year. On the flip side, supply is growing as well. I would think an indicator that things are improving is that people are taking trips for both business and leisure and new hotels are being built again.

 

Average Daily rate is expected to increase by 4.3% this year (a very health increase, what I've always budgeted for in most hotels)

Demand is up and expected to increase by 2.6% by year's end.

 

The outlook is strong for 2015 as well.

[woodsrider]

Is it because you have gained market share (ie. have competitors gone out of business or exited the industry)? Or have you gained market share because of predatory pricing or superior performance of your firm. Or, is the market experiencing a sudden growth?

 

I think the economy is mixed..some areas are doing well, others, particularly discretionary services have not recovered really since 2009. The automobile industry seems to be up and down, building realizing some pent up demand, but housing prices are not booming and real estate is a crap shoot right now. There is still an underpinning of concern because of uncertainty with governmental policy....taxes, continued stimulus and the budget. I am lucky enough to have a good job during this time, but I could not sustain the business I owned due to losses and a lack of the feeling that the situation would change in the near future..so a mixed bag for me.

We have won some new business which has helped but the main driver is our existing customers business being up. I can't answer the market specific questions because our customers span just about every industry/market you can think of. Short of aerospace and direct automotive we are in every industry you can imagine, from a manufacturing stand point. Are they are up, no. One for example is communication tower manufacturers. That industry is in the toilet.

 

I pretty much agree everything you said in the second paragraph.

[doomer]

I'm in an industry that's seeing good growth year over year. On the flip side, supply is growing as well. I would think an indicator that things are improving is that people are taking trips for both business and leisure and new hotels are being built again.

 

Average Daily rate is expected to increase by 4.3% this year (a very health increase, what I've always budgeted for in most hotels)

Demand is up and expected to increase by 2.6% by year's end.

 

The outlook is strong for 2015 as well.

 

I am all for good news!

 

My workplace is in the Fluid Power industry (several parts of it) as well as manufacturing energy related parts. Our market is very competitive, and we are holding our own, but we haven't really gained market share. However the market outlook is for modest growth 3% or so over the next three years. Good new/bad news, we only account for about 2.5% market share in the US for Fluid power products, but 70% of the market in energy market products.

 

We have new ownership as of 1-1-14 who is an equity firm, and of course they expect growth triple the market rate, which I agree with for the most part. However, we need the energy market to sustain at least its current levels to support our efforts in growing in our other markets.

 

Just as an aside...Russia was one of our growing markets for our energy products, and now we are prohibited to shipping to them due to the trade restrictions. (oil/gas exploration).

[rockmom]

I am all for good news!

 

My workplace is in the Fluid Power industry (several parts of it) as well as manufacturing energy related parts. Our market is very competitive, and we are holding our own, but we haven't really gained market share. However the market outlook is for modest growth 3% or so over the next three years. Good new/bad news, we only account for about 2.5% market share in the US for Fluid power products, but 70% of the market in energy market products.

 

We have new ownership as of 1-1-14 who is an equity firm, and of course they expect growth triple the market rate, which I agree with for the most part. However, we need the energy market to sustain at least its current levels to support our efforts in growing in our other markets.

 

Just as an aside...Russia was one of our growing markets for our energy products, and now we are prohibited to shipping to them due to the trade restrictions. (oil/gas exploration).

 

I wouldn't even be able to begin to know what indicators to apply to your industry. :lol: There's a reason I'm still in the Hospitality industry after 25 years...I don't know nothin' else.

[Bluegrasscard]

I wouldn't even be able to begin to know what indicators to apply to your industry. :lol: There's a reason I'm still in the Hospitality industry after 25 years...I don't know nothin' else.

 

I am fairly shocked at how resilient hotels have been. Air travel has to be far less than half what it was a decade ago. So it seemed there would be pressure on hotels. But most seem robust, especially in metros that had not gotten hammered (thinking Detroit). Nashville can be sold out downtown any time. Other places as well. So you are in a pretty good 'recession/semi-depression proof' industry it would seem.

[rockmom]

I am fairly shocked at how resilient hotels have been. Air travel has to be far less than half what it was a decade ago. So it seemed there would be pressure on hotels. But most seem robust, especially in metros that had not gotten hammered (thinking Detroit). Nashville can be sold out downtown any time. Other places as well. So you are in a pretty good 'recession/semi-depression proof' industry it would seem.

 

It wasn't that way back in 2008, and has only just started significantly recovering. We've had to bounce back not only from the logical draw down of leisure and business travel in an uncertain economy, but from the myriad of sources that are out there touting how to get a "cheap" rate, and sites that claim to offer better deals than booking a hotel directly. While those sites can drive room nights, at anywhere from 17%-32% margin for the hotel, they eat significantly into revenues, despite occupancy increases. The Expedia's, etc. have been the bane of the travel industry, and they really grew by leaps and bounds when the economy tanked and everyone was looking for the best deal.

[Bluegrasscard]

It wasn't that way back in 2008, and has only just started significantly recovering. We've had to bounce back not only from the logical draw down of leisure and business travel in an uncertain economy, but from the myriad of sources that are out there touting how to get a "cheap" rate, and sites that claim to offer better deals than booking a hotel directly. While those sites can drive room nights, at anywhere from 17%-32% margin for the hotel, they eat significantly into revenues, despite occupancy increases. The Expedia's, etc. have been the bane of the travel industry, and they really grew by leaps and bounds when the economy tanked and everyone was looking for the best deal.

 

Yes, and its bled over to corporate America. After being instructed to use only per-negotiated rates that the (arrogant) procurement/travel departments would say can not be beat our company is letting us use anything from any source that is cheaper for same hotel. I would assume this freeing up of business travelers from mandated 'prenegotiated' rates and allowing booking via the free-for-all sites has made it worse.

[75center]

International travel is helping out.