Economic Recovery & Share Markets

There are a number of articles on websites and newspapers about the economic recovery and share markets.

Some economists focus on the following three numbers to determine the confidence of the world economy.

1. Rate of economic growth ( higher than 3%);
2. Unemployment rate ( lower than 4.5%) and
3. The rate of inflation. (less than 3%)

There are other positive factors that should be looking at are:

• A slowing rate of decline in US housing prices
• US consumers spending to slow but not collapse
• A stabilisation in consumer confidence in key countries
• An easing in bank lending standards
• An improvement in money markets
• A fall in private sectors borrowing rates
• A stabilisation in global trade indicators &
• A stabilisation/improvement in China's growth.

Regarding the share markets, analysts are having different views of the market related to the economic recovery. Some predicted that the markets would be moving up before the end of the recession but others oppose this view. However they have listed two important factors to watch for the possibility of the end of the bear market.

Capitulation is the first factor to look at. Capitulation is when investors give up on stocks. Stocks are a bad investment and there is mass selling over a short period of time. When real capitulation arrives, few will recognise it and ring the bell. It's when there are no sellers left in the market and only exhaustion. The only problem is that it is very hard to pick the bottom. One fact is that prices are at a very low P/E so perhaps for the very brave it's time to start accumulating. Just don't expect the bumpy road to be over.

Volatility is another indicator of the end of bear market. Extreme levels of volatility are usually associated with turning points in the markets and not in trend continuation.

So it may be wise to stay out of the market until the economy is starting to move up or perhaps at end of next year.

Marketing Genius by Peter Fisk

This is another book written by Peter Fisk.

Marketing Genius is about achieving genius in your business and its markets , through your everyday decisions and actions.
It combines the deep intelligence and radical creativity required to make sense of, and stand out in today's markets.
Connections lie at the heart of marketing, bringing together customers and business, strategy and delivery, brands and relationships, loyalty and growth.
The real innovation challenge is in the market - to create new ways of working or living, satisfying needs and wants in better ways, changing behaviours and attitudes.
The author divides five parts of his studies as follows:

A. Ingenuity - The making of a marketing genius :- This is the starting point because it is about seeing things differently, from the outside rather than the inside, from the future rather than the present, then you can describe a bigger space in which you can compete, innovate and grow.

B. Thinking - The mind of a marketing genius :- We need to think, particularly if we are to do somethings different and better than before. Learn more deeply what really matters to customers. Go talk to them, and those of your competitors. It doesn't cost you a penny.
We need to build brand like nobody else. People trust and engage with fewer brands, the ones that means most to them. Start doing business on customer's terms - where, when and how they want. Put an end to mass campaigns and cost-plus pricing. Start engaging customers where and when it matters most to them.

C. Competing -The touch of a marketing genius :- Define a clear proposition for your business. This consists of who are you here for, what benefits do you offer.
To target the best opportunities before others, to beat competitors in smarter way.
We must learn to work with the incredible power of virtual and physical networks, finding ways to work alongside user-driven communities, content and control.

D. Leading - The impact of a marketing genius :- Brands, ideas and relationships are the most valuable business assets and are the keys to future profit and growth. Marketers are the guardians of these assets, bringing new power, influence and responsibility.
Marketing not only tell you how to delight your customers, but also tell you how to make money at the same time. Research shows that marketing is the most significant driver of value creation - of economic value, of share price - in the business.
Be a inspiring leader - with your staff and colleagues and the general public. Leaders inspire followers, partners and customers.

E. The Genie - Becoming a marketing genius :- The 'genie' is the practical lab where marketers can start to evaluate themselves, play to develop themselves, and how they will achieve 'genius' in a way that is appropriate for them.