Monday, February 16, 2009

The Impact of Economic Crises in Shanghai

I was often asked by European colleagues: “Do you really feel the impact of economic crises?” Since my experiences are only from the news paper, radio and TV, I decided to pass the question to the people I interact with daily and here is the feedback.

A taxi driver: “Yes, absolutely. Less people come from airport. And less people go to the luxury entertainment areas.”

A breakfast seller: “Yes. My main customers are workers from the country side. Now since some factories got closed, my business dropped dramatically.” In fact I saw her often standing there waiting for customers coming, while in the past she was always extremely busy with serving the people.

A laundry provider: “No. Not really. My customers are the white color inhabitants who lived near by. I experience business as usual.”

Conclusions (even not scientifically proven due to lack of sufficient samples): the economic crises impact first the high end (business traveler, expatriates) and low end (workers from country side). It has not been impacted middle class, yet.

My wife and I went on Saturday in Super Brand Moll. It was the valentine’s day. We had difficulties to find any seats for dinner, some top restaurants are overbooked with waiting time of 2 hours. Couples carrying roses were in high mood. It was really difficult to feel the impact of economic crises. Perhaps, loved ones are always exceptional. But what does prevent us from practicing love, despite economic crises?

1 comment:

  1. According to my observations (in Japan):

    - Parking zones for taxi's are usually full since last Nov. (Taxi are expensive in Japan)
    - Department stores apparently have less people.
    - Stores give larger discount than this time last year.
    - You still need to line-up at the restaurant on holidays.

    My understanding is that:
    - Less business activities
    - People have reduced their desire for brand goods and luxuries.
    - Necessities are not infected, and Valentine's day is a necessity. :)