Who and why some businesses and people thrive in economic downturns?

Answer 1

Certain businesses are impacted differently than others. Depending on the ongoing expenses and incomes of a business, economic downturns may or may not impact the operations of that business. For example, disposable income is typically decreased during economic downturns as people try to save money for necessary expenses. Those unnecessary expenses (such as leisure travel, going out to restaurants, and seeing a concert in person) will impact the businesses that make money on disposable income (such as hotels, restaurants, and concert venues). On the other hand, necessary expenses (or ongoing expenses that will not be decreased) such as certain subscriptions, medicine, and security expenses will keep the businesses thriving that make money off of that type of expenditure (such as insurance companies and hospitals).

Hope that helps!

Best,

Eric