economic survey

Economy In Decline

Economy declining at Unprecedented Rate

The UK economy declined at a record rate in the last three months of 2008 as domestic sales in the manufacturing and service sectors plummeted, according to the British Chambers of Commerce (BCC). The BCC’s economic survey of the fourth quarter of last year also revealed that employment levels and business investment fell to their lowest since the survey began in 1989. According to BCC director general David Frost, the pace of the decline has defied expectation. “These are truly awful results with the scale and speed of the economic decline happening at an unprecedented rate” “Despite the weak value of the pound, the export sector has not picked up as hoped. It’s a global recession and there isn’t the demand from customers for the goods we produce.&rdquo... »

Recession Arrow

SMEs Best-Equipped to Cope With Recession

Small businesses are better-equipped to survive recession than larger organisations, claims the Small Business Research Centre at Kingston University. The centre’s director of research Professor Robert Blackburn said: “Small firms are generally much more flexible than large firms. They are more likely to be able to quickly reduce their costs and outflows, unlike the larger organisation which may have to undergo major structural adjustments to re-align its activities with a decline in market demand”. “The ability of SMEs to make temporary changes, such as reducing the pay of the owner–managers, makes them more able to adapt to adverse market conditions”, according to Blackburn. “Small firms are more resilient than some commentators would lead us to ... »