Recession: The Winning Companies

We all are aware that the credit crunch and global economic downturn has badly hit the businesses. As a result, we have seen companies closing down plants and reducing their scale of operation and even going bankrupt. We have heard of job cuts in all kinds of companies as theirs sales slump and they report of record breaking losses.

But amidst all this, some smart players have emerged. Some proactive companies have turned the tide in their favor and milked even the most dreadful economic times. They have not merely survived economic slowdowns and recessions, but have made the best of it. Few of the global winners are listed below:

1. McDonald’s – Many expensive restaurants are going out of business. On the contrary, McDonald’s has plans of expansion. It intends to open 240 new branches across Europe and create around 12000 jobs. If you are wondering how, then the secret lies behind the affordable menus and sound management of the firm. The world’s largest chain of fast food restaurants saw its sales rise 8.2% in October compared to last year’s sales figures of the same month.

2. Apple Inc. - Defying the gloomy economic conditions, Apple Inc. recorded its best quarter ever as the company reached the $10 billion mark in a quarter for the first time since the company’s inception. Its quarterly profits were $1.61 billion, up against the previous $1.58 billion. The company also has a more than impressive cash balance making it more resistant to economic doldrums.

3. Amazon.com – On 29th January, 2009, Amazon.com announced that net sales increased 18% to $6.70 billion in the fourth quarter, compared with $5.67 billion in fourth quarter of 2007. The online store earlier announced that its 14th holiday season (year 2008 holiday season) was its best ever. For Amazon.com recession is an opportunity of cheaper acquisitions and lesser competition.

We hope to see more companies clearing the dark clouds and emerging as stable, profitable and employment generating companies.