Some Businesses Well-Positioned for Recession
We have a saying here in Texas: itâ€™s an ill wind that donâ€™t blow nobody no good.
In the current recession, good is blowing towards businesses that are positioned to absorb the shifting spending habits of consumers. Businesses like General Mills and ConAgra Foods which both posted higher than expected profits.
ConAgra, which makes Banquet frozen dinners and General Mills, which makes such products as Hamburger Helper, Cheerios, Progresso Soup and others, have benefited from consumers who are eating out less and want easy ways to eat at home.
Similarly, Wal-Mart has managed to post profits thanks to its obsessive focus on lower costs.
We might be willing to forgo our electronics, but we still have to eat and wear clothing and clean our homes. If I had any money to invest, Iâ€™d be looking at those businesses which provide necessities at affordable prices.
Even in a recession, you can make a buck.