UK Retail Economy - how are you finding it?

Discussion in 'Ecommerce Forum' started by antropy, Mar 2, 2018.

  1. antropy

    antropy OpenCart Experts Full Member - Verified Business

    3,390 584
    I think what's happened is that society has never been more split. Very few people now have moderate views and class themselves as being fairly central in politics. Most are either very right or very left. In my view, both are dangerous. "Moderation in all things" has never been more appropriate.

    Hanging on to "control" by a thread but unable to get their wishes through parliament, showing a lack of support. It seems parliament itself (like the nation with a vote that was almost 50/50) are divided almost down the centre, hence all the "unite the nation" rhetoric.

    To me it seems like massive levels of debt are more worrying than politics getting very messy but the issues combined could end up being nasty - a severe global crash without effective governments anywhere could lead to more civil unrest and chaos.

    I think the difference here though is that the extent of the debt is known (as far as we know). It was the toxic sub-prime debt in 2008 that was a hidden iceberg that caused collapse (or indeed correction) and that is how markets work when new information becomes public.

    Posted: Jan 24, 2019 By: antropy Member since: Aug 2, 2010
  2. Jasondb

    Jasondb UKBF Regular Free Member

    144 9
    The massive levels of debt are an issue and the reason stated as the need for austerity.
    I think our debt was somewhere a little over 90% of GDP. With Greece by comparison I think it was 120%. Currently we service the interest on the debt to private creditors.

    Markets do correct to an extent , lower exchange rate more tourists, exports cheaper. As people are tightening their belts imports are also lower. This is reducing the budget deficit yet a lot of people are unhappy, whether it is cancelled hospital operations, high rates of crime that do not get resolved or local councils running amok and building 'eyesores' and over-riding local concerns.
    Posted: Jan 24, 2019 By: Jasondb Member since: Apr 23, 2018
  3. antropy

    antropy OpenCart Experts Full Member - Verified Business

    3,390 584
    Without wanting to take sides or make this political (because Labour certainly have their problems), I do think Tory Austerity has a lot to answer for, including potentially 120,000 unnecessary deaths:

    As others have said, extreme austerity, especially so many years after the initial crash seems counter-productive. And if it's actually responsible for that many deaths, criminal.

    Posted: Jan 24, 2019 By: antropy Member since: Aug 2, 2010
  4. Jasondb

    Jasondb UKBF Regular Free Member

    144 9
    Steering more back to the retail general theme can't help but noticing how active Mike Ashley has been recently with now being linked with a possible tie up with HMV and Game, which follows his House of Fraser venture.

    I was reading a comment in the business section of my father's Daily Mail commentating on this and saying a certain Phillip Green did a similar thing a generation ago.
    Posted: Jan 25, 2019 By: Jasondb Member since: Apr 23, 2018
  5. UKSBD

    UKSBD Not a real duck Staff Member

    9,227 1,729
    It's a bit like a John Grisham book (can't remember which one).

    Big company loses court case, shares crash, owner is effectively laughed at by peers, shares dive and dive, eventually he starts buying them back, shares recover when appeal is won, he end up doubling his money as he bought all the share when they were low.
    Posted: Jan 25, 2019 By: UKSBD Member since: Dec 30, 2005
  6. The Byre

    The Byre UKBF Ace Free Member

    8,856 3,460
    The old saying goes "Buy anything if the price is right!"

    I was talking to the CEO of a major investment fund based in LA last week. He had bought 15% of a basket case company at c.a. $3.50 a share when they were kicked off the NASDAQ for bookkeeping irregularities and desperately needed money. I pointed out that in their 30-years of existence, they had never once managed to make any profit. When their share price hit $60 back in 2004, they went on a buying spree and a few years later had to sell all the companies they had bought for hundreds of millions for about one-twentieth of what they had originally paid.

    I even quoted Warren Buffet at him: "It's better to buy a good company at a fair price, than a fair company at a good price."

    His reasoning - "Oh, I absolutely agree! The company is being run by arrogant fools. They bought and bought all kinds of dead-end tech companies just so as the CEO could boost his f***ing ego! They got rid of one idiot as CEO, only to replace him with an even bigger idiot and key staff have all jumped ship ages ago!"

    "So why the f*** did you buy the damn thing?" was my immediate response.

    "My reasoning was, the company makes good products and is still doing a healthy turnover, despite the board and management making every mistake in the book. I looked at them and said to myself 'Just imagine what this company could be if it were run by normal people!'"

    The share is now at $4.60 and the company is still writing losses. It continues to lose market share and other non-listed (i.e. private) companies are taking big chunks out of a rapidly expanding market and the latest CEO has been at the helm for about a year and has so far done sweet F.A. about restructuring the company. It just continues to flounder!

    If it goes under in a sea of debt (debts now exceed market cap by a considerable margin and they have had to mortgage all their IP!) I shall send my friend an "I told you so!" email.

    But then Hey! What do I know? Sometimes you bet the farm and get it right! And sometimes you don't. Today we may celebrate, for tomorrow it may be squeaky-bum time!
    Posted: Jan 25, 2019 By: The Byre Member since: Aug 13, 2013
  7. Haindiary

    Haindiary UKBF Contributor Free Member

    31 0
    More difficult than we would like.
    Maybe for a start, everything is so difficult for me, but it is difficult.
    Posted: Jan 29, 2019 By: Haindiary Member since: Jan 14, 2019
  8. Mr D

    Mr D UKBF Legend Free Member

    16,119 1,798

    Yes, buy anything if the price is right.

    Lost count of the number of items I've come across sold way too cheap. Sometimes its simply buying in one town and selling in another.
    Posted: Jan 29, 2019 By: Mr D Member since: Feb 12, 2017