The Great Recession of 2022 has set off a chain reaction of events in the commercial sector, beginning with the general need to keep operating expenses to a bare minimum. The second and third quarters of the year have witnessed fresh challenges for owners, entrepreneurs, consumers, workers, investors, and institutions of all kinds. A volatile employment market, soaring inflation rates, continuing pandemic restrictions, global supply chain backups, and poor domestic product growth have combined to create a hostile environment for business owners and investors.
As Q3 economic data reveal no sign of letup from the widespread downturn, people are seeking ways to combat the recession in any way they can. As the global recession deepens, transport companies are reorganizing their operations to include more sophisticated vehicle telematics, systems that help supervisors and drivers communicate in real time and exchange vast sets of relevant data about fuel usage, road safety, and maintenance needs, and more. Fleet management in Q3 of 2022 is one of the most effective ways for owners and managers in transportation firms to fight against rising costs to operate delivery vehicles, the need to minimize fuel usage, and the ongoing supply-chain slowdown.
Fleet management programs, software, and other systems help managers rein in costs of everyday operations. Information processing, combined with telecommunications, is part of the latest range of sophisticated telematics programs that fleet managers use to get through each day. Since its debut in the 1970s, telematics-based systems have been at the forefront of the latest wave of IT, combined with internet-enabled telecommunications. Fleet supervisors use the new programs to exchange data between offices and vehicles in real-time.
Home-based companies are enjoying a surge of popularity in 2022 as it becomes increasingly more costly to rent or lease office space. The most recent converts to the trend are large corporations that opt for a hybrid system in which the majority of workers are encouraged and even incentivized to work from their homes. The supply chain crisis has been going on for more than three years and threatens to extend into 2024.
Recently, managers and owners of e-commerce companies have been converting to digital product lines in order to avoid supply and logistics challenges. Digital goods can be delivered electronically, which eliminates the need for physical shipping or inventory storage. As in the 1970s, amid the worldwide energy shortage, corporate owners in 2022 are choosing to delay business expansion.
Waiting it out has become the technique of the day, particularly in the final months of the year. A no-growth attitude is not necessarily the best way to defy recessionary forces, but for thousands of owners and entrepreneurs, it’s the only choice they have. For individuals who struggle to build long-term financial security through retirement accounts and conservative portfolios, the recent economic downturn has spurred migration to rental property investing.
The cost of new homes continues to soar in 2022, which has driven millions of former and prospective homeowners into apartments and other types of short-term dwellings, all of which are rentals. There’s been a vast increase in the amount of capital moving into rental real estate shares, funds, and trusts. Anyone who wants to diversify a retirement portfolio can add assets tied to the value of real property. Whether this trend will hold strong into 2023 is yet to be seen.
Home goods and hardware stores are one of the few retail segments enjoying a strong, profitable year. One of the key reasons behind the good news is a marked increase in DIY (do it yourself) projects by homeowners. Behind that phenomenon is yet another mark of recessionary forces, namely the reluctance or inability to purchase a new home. This year’s down economy has forced millions of people to delay acquiring new houses. They’re apparently waiting to see how the housing market behaves between now and 2023.
Mirroring the real estate markets, the new vehicle niche has seen a quick transformation. Dealerships are now experiencing strong demand for cars and trucks that are still under warranty but between one and three years old. As fewer consumers are able to afford new cars, used sales have taken off like never before. Already, some new car dealerships have converted to selling used vehicles exclusively.