Cars aren't selling. People are clipping coupons, foregoing high-calorie meals and postponing impulse buys. And evidently, less people are purchasing porn, which puts it in the heaping pile of businesses that are fighting to survive. Hustler publisher Larry Flynt and 'Girls Gone Wild' CEO Joe Francis are heading up the porn industry's push to receive their fair share ($5 billion) of the federal government handout.
Implications - The North American economic crisis has severely crippled several industries which relied heavily on consumers' disposable income. Consumers are instead choosing to spend money more wisely on necessary products rather than luxury or extraneous goods. Industries looking to launch a luxury item should consider current consumer spending habits as they may potentially cause a product to fail based solely on consumers' lack of disposable income.
Key Themes Behind This Trend
- Decreased Demand for Luxury Goods
- Due to the current North American economic crisis, consumers are choosing to spend money more wisely on necessary products rather than luxury or extraneous goods.
- Survival of Struggling Industries
- Industries that relied heavily on consumers' disposable income, such as the adult industry, are fighting to survive and pushing for financial assistance.
- Government Bailouts
- As struggling industries push for financial assistance, there is a trend of government bailouts becoming more prevalent.
Where This Applies
- Luxury Goods
- Industries looking to launch a luxury item should consider current consumer spending habits, as they may potentially cause a product to fail based solely on consumers' lack of disposable income.
- Adult Industry
- The adult industry is struggling and pushing for financial assistance to survive the economic crisis.
- Government and Politics
- As struggling industries push for financial assistance, government and politics play a pivotal role in deciding which industries receive bailout funds.
