Monday, December 20, 2010

What Recession?

Normally, I don't delve much into politics, but I felt the need to rant a little.

As many of you are aware, the US is in the middle of a Recession... or ARE we?

For the average individual (including myself) this has been a rough year. Yet, there are some who don't feel it and aren't affected: big business.

It's interesting to note that while a lot of folks are just getting by, major corporations seem to have money to burn.

For example: how many major hotel chains have introduced new or remodeled logos this past year (I can name at least 3)? How many small chains have bought up by their larger rivals? For major corporations, there is no Recession: they still have plenty of money.

Yet, many small businesses are hurting: how many individual hotels have changed brands in the past year? I've seen Holiday Inns become Ramada, Super 8's become Americas Best Value. I've seen name brand hotels suddenly change to "no name" (or generic names like "Budget Inn" or "Economy Inn"). Why? Because franchise fees are lower, commissions are lower and maintenance standards are lower. So to save a few dollars, hotel owners are opting for cheaper franchises to conserve their money.

I'm using hotels as an example, but they are by no means the only industry.

Now then, we have a brand new Congress coming to Washington, DC in January. Who do they want to give tax breaks to? The corporations! The same people who seem to have plenty of money already.


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