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The result will be global deflation a period of falling prices, shrinking profits and lots of bankruptcies.There are, indeed, many examples of excess supply around the globe.
But even if Pearson's slash-and-burn strategy really worked the same thing would have happened in pharma as happened in baseball: savvy companies (that is, ones not led by Martin Shkreli) would have copied Valeant, eroding its competitive advantage, and Valeant's acquisition targets would have jacked up their prices, shrinking Valeant's returns.
The stock market plunged late in the afternoon yesterday, registering its biggest drop in three weeks as investors were hit by fresh worries over declining consumer confidence, falling house prices, shrinking profits on Wall Street and uncertainty about the Federal Reserve.
Pocket-sized camcorders continue to grow in popularity thanks to falling prices, shrinking form factors, and enhanced video quality.
The crucial factor in the current rebound is that both semiconductor and semiconductor equipment companies – in the face of collapsed stock prices, shrinking revenues and profits, and devastating lay-offs – have refused to compromise their RD investments.
Moreover, these issues are being further complicated by rising energy prices, shrinking energy reserves, and varying legislational, geographic, socio-economic and political conditions, leading to a variety of complexities in the relevant decision-making processes (Matsuhashi et al., [1996]; Verderame et al., [2010]).
Similar(52)
Wonderful.And American household wealth fell an estimated 18% in 2008 as housing and stock prices shrank.
The income gap narrowed briefly during the Great Recession, as plummeting stock prices shrunk the portfolios of the rich.
The Magellan Fund of Fidelity Investments ended last year with $56.8 billion in assets, the smallest total in five and a half years as declining stock prices shrank what was once the nation's largest mutual fund.
High fuel prices shrink the economic life of a passenger aircraft, and that should continue to drive fleet renewal.
Conversely, the FIFO ("first in, first out") method is more agreeable when prices shrink, as they have recently.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com