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That would lead to a reduction in consumer spending large enough to start a recession.
"Many companies are losing their competitiveness and being hit by a reduction in consumer spending".
However, Mr. Schultz said that the instant coffee had nothing to do with the reduction in consumer spending and has been in the works for 16 years.
Further drops in share prices are expected, as companies struggle from a reduction in consumer spending and concerns about countries' abilities to pay their debts.
Facing a reduction in consumer spending across the Continent, many European telecommunications operators are searching for ways to increase their cash reserves.
Faced with continued high oil prices and a reduction in consumer spending, Western airlines have been striking deals in a bid to remain profitable.
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The outlook is for further large reductions in consumer spending, most obviously from rising unemployment and pay freezes or reductions in pay.
"The economic pressures on consumers intensified in the fourth quarter, resulting in a further decline in consumer confidence and dramatic reductions in consumer spending," Robert A. Niblock, Lowe's chief executive, said in a statement.
He also said that the auto-care business was seen as more discretionary than other businesses, meaning it was vulnerable to reductions in consumer spending, as opposed to other, more necessary items.
Consequently, Lock et al. (2009) concluded that during recent food price increases, major fast food companies have seen large profits despite overall reductions in consumer spending.
Meanwhile, a leap in fiscal spending and a reduction in policy interest rates prevented a sharp falloff in consumer spending and housing prices.
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