Blog Pick of the Week: Obama's Re-Election and Consumer Spending
The 2012 election for the President of the United States is over and Barack Obama will be in office for 4 more years. Typically, consumer spending slows leading up to elections based on economic uncertainty.
Now that the election is over, I saw this article on "How Obama's Re-election Could Boost The Retail Industry".
Since 55% of the females voters were for Obama, their confidence is strong and they are responsible for much of the retail purchasing. I know someone this week that purchased a digital camera and an iPad which is a large discretionary purchase for a non-holiday period.
Another area of concern is that retailers will be impacted by 'Obamacare' which will increase expenses for retailers for benefits for their full-time workers. Costs will have to either be passed on to the consumer or perhaps the workforce will become more part-timers instead of full-timers.
This certainly demonstrates how politics and the economic climate can impact procurement and sourcing professionals. Increases in retail have a ripple effect through many industries such as logistics and manufacturing. The increased volume of business impacts the purchasing activities at all those organizations.
What do you expect based on the recent election? Do you see any impact to your procurement team or purchasing practices?