09-10/2014 Don’t lose your grasp of reality!
If we could discern the economic trend from the business conducted on the international stock exchanges, then the last twelve months would be reason for everyone to smile. Sumptuous share price rises, record highs in many trading centres and returns on investment as high as 25% for global developed markets, with some top performances registering even higher than before the financial crisis hit in 2008.
One would assume that such an upswing would be cause for high-flying optimism. For besides information generated by price quotations from the financial economy and the psychological state of speculators, it is and remains reports about the real-world business activities of real-world companies that determine prices at the stock exchange. In the final analysis, so the share-price gurus have incessantly preached, the effects will trickle down to the market in due course. Sky-rocketing share prices at the stock exchange are always said to be precursors of a general boom. The time required for it to take effect used to be estimated at half a year.
We haven’t felt much of the change in the weather so far. Reports say that the amount of central banks’ money in the markets is rising, and the first predictions have pointed to investors’ markedly higher readiness for risk. Sound familiar?
So let us stick to the good old real-world economy. Trade and industry are the engines of transport and logistics and these are, in turn, linked to consumers. Their demand is as real as the real supply that they wish to find every day in the shops or in the internet. This is where the logistician’s job begins. Sitting down at the table with his corporate clients and establishing the best-possible solution – be it a product or a service – for each market segment.
Competition is necessary, that’s true, but there is no progress without collaboration when striving for a common goal – as dictated by common sense. Perhaps it would be appropriate if both sides of the fence were to re-focus on this aspect sometimes when seeking a solution.