Why Disposable Income is Essential to Business

We all know that in order to thrive as a business you need customers but in order to get customers they have to have an avenue to pay for your product.  If customers are to have an avenue to pay for your product, they need to have access to a job.  In order for businesses to hire they need customers to buy their products.  It’s as plain as the nose on your face that in order to make all of this happen the first thing any economy needs to do is to create as many jobs as possible.

In business school, we are taught that this is mainly called supply and demand.  You supply the products people want and need to buy but that number is very much related to the demand that is out there for that product.  You may have the best product ever but if the demand is not there, it will not sell.  Customers having disposable income are and always will be the difference between thriving and surviving for any business.  It can be said that disposable income is the same as demand.  It is a proven fact that when disposable income is low, your profits will go and when disposable income is high your profits will fly.

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