Looking for Opportunity

Economic Trend Opportunities

1.

A recent increase in oil prices has pushed the price of one barrel to over $50 once more.

a. I found this opportunity through a web article that I found, located at the following link:

http://abcnews.go.com/Business/wireStory/50-oil-pose-major-threat-consumers-economy-39409315

b.  The information presented in this source leads me to believe that an opportunity exists because oil prices are on the rise once more, and oil drilling in the U.S. is becoming more profitable than it was earlier this year and last year, meaning that more companies can begin to ramp up their oil production.

c. The prototypical customer would be the companies that are involved in the oil industry in the U.S. already, as well as those companies and people who are looking to stake their claim in the oil industry.

d. I think that this opportunity will be a simple one to exploit if the company already has the infrastructure in place to restart operations that were shutdown before the oil price collapse, and relatively difficult for those companies that are looking to enter the industry from scratch.

I saw this opportunity primarily because I believe that the U.S. should become energy independent, and although I'd prefer it be via renewable energy sources, doing it through traditional oil production also works, at least for now.

2.

Due to the effects of the Great Recession and other factors in the U.S., we are now faced with an economic trend in which the most popular living arrangement for people ages 18-34 is living with their parents.

a. I found this opportunity through a web article that I found, located at the following link:

http://www.japantoday.com/category/lifestyle/view/goodbye-empty-nest-millennials-staying-longer-with-parents

b. The information presented in this source leads me to believe that an opportunity exists because millennials are not spending as much money on things such as house, appliances, furniture, and other goods that generations had.

c. The prototypical customer in this instance would be the companies that cater to the millennials themselves, who, because of the recent state of the economy, haven't been able to do many of the same things their parents and grandparents did. If companies could find a way to specifically market more affordable housing options and goods to millennials, I believe that there is a lot of room to achieve success.

d. I think that this opportunity would be difficult for companies geared towards millennials to exploit because I think that their opportunity presents itself in such a way that it's easier said than done to achieve, and cutting costs in order to appeal to an entire generation is no easy task.

I saw this opportunity because when reading the article, it really hit home for me and I found it to be very relatable because I, myself, am a millennial. I've always had the concern in the back of my head that I wouldn't be able to find a well-paying job after college and would have to move back in with my parents while trying to find a job that would allow me to move out on my own.

Regulatory Change Trends

3.

This trend is about a recent addition to a proposal by the State Senate in Massachusetts that entails banning plastic bags from all major recent retailers in the state, and charging 10 cents per bag in cases where customers still want to use them.

a. I found this opportunity through a web article that I found, located at the following link:

http://boston.cbslocal.com/2016/05/27/plastic-bag-ban-massachusetts-shopping-stores-paper/

b. The information presented in this source leads me to believe that an opportunity exists because I think it would be a step in the right direction towards protecting the environment and doing away with wasteful use of plastic bags that could drastically reduce the impact we leave on the environment if it were implemented across the country,

c. The prototypical customer in this instance would be the companies and retailers that are affected by this regulatory change, which could add to revenue through charging for use of plastic bags, as well as lead to better brand image and benefits from reducing impact on the environment.

d. I think that this would be a relatively simple opportunity to exploit in that it would be very easy, logistically, to implement this change. However, the possible public outcry could be very serious and damaging to any companies that decide to implement this change sooner rather than later.

I saw this opportunity because during my time traveling to different countries around the world, particularly in Europe, many companies in these countries have already implemented these changes, and I feel that it would be a great idea. It would reduce impact on the environment and promote stronger recycling habits, as well as boost brand perception.

4.

This trend is about the recent regulatory announcement by Takata, an airbag manufacturing company, that over 12 million airbags, within cars from 8 different automakers, need to be replaced because they have been deemed unsafe and need to be replaced.

a. I found this opportunity through a web article that I found, located at the following link:

http://www.cbsnews.com/news/8-automakers-recall-over-12m-vehicles-for-takata-air-bags/

b. The information presented in this source leads me to believe that an opportunity exists because when Takata supplied these faulty airbags, it presented an opportunity for other airbag manufacturers to take business away from Takata after they displayed their defective product and allowed it to affect so many different customers.

c. The prototypical customer in this instance would be the companies that compete with Takata for supplier rights to airbags that are used in the cars of several different automakers. I feel that many of the automakers will be weary of working with Takata again in the future because this issue has affected so many vehicles across different brands and types of car.

d. I think that this would be a simple opportunity to exploit for these competing airbag manufacturers, primarily because it would entail displaying how and why automakers should use their airbags over Takata's proven-to-be-defective ones.

I saw this opportunity because my father recently received a letter from his car's automaker indicating that he, in fact, had a Takata airbag installed in his car and it needed to be replaced. I think that safety should be a priority in these matters, and when companies like Takata cut corners to increase profitability, I find it deeply concerning.