Identifying Opportunities in Economic & Regulatory Trends - Assignment 6A

1)    Regulatory changes: To require a background check for every gun sale.

a)    Source: https://www.govtrack.us/congress/bills/116/hr8

b)     I think this opportunity exists because people have been concerned abut gun laws and safety in this country for the better part of two years now.

c)     The prototypical companies affected are the ones that are responsible for organizing background checks or help citizens organize themselves for a background check. The opposite can also be true for gun manufacturers, who may see slower sales due to less people being eligible to own a firearm.

d)     I think it is relatively easy to exploit because it seems inevitable that some type of regulation will be placed on acquiring firearms via background checks. If it is not through this regulatory law, it will be from another. Currently this law needs to pass the House, so it is a long ways from being passed, which provides potential benefactors to prepare for the opportunity.

I may view this as an opportunity while someone else may not primarily because I believe that advocates for gun control will speak louder than advocates for current gun laws. In addition, I think our current House and Senate is composed of individuals who are in favor of gun regulations. Someone else might have a different political view and choose not to see this as a possibility of occurring, and thus not a potential opportunity.

2)     Regulatory changes: Revising FTC standards for safeguarding consumer information

a)     Source: https://www.govtrack.us/congress/bills/116/hr331/text

b)      I think this opportunity exists because cyber attacks and cyber security has become extremely prevalent in the last several years as big data is increasing. Events in the news like the Equifax scandal have shed light on consumer privacy issues.

c)     The companies that benefit are those engaged in internet security, cloud security, and help collect data on consumers.

d)    I think it may be difficult to exploit at this current stage since we do not know what the new standards will look like. When we receive more detail from the FTC, companies who provide security and collect data will be able to begin changing their systems to abide by the new laws. If they quickly and successfully implement the new systems, they will be able to obtain market share form non law abiding competitors.

I may view this as an opportunity while someone else may not primarily because I am very personally concerned for my security. I am very cautious of someone stealing my personal information via the internet, so I try to keep up with what type of websites have had data breaches as well as methods cyber attackers use to exploit customers and their data. Since this is important to me, I may view this more significantly than someone else who hasn’t thought much about the data large corporations collect on us via the internet.

3)     Economic changes: Consumers preference shows they are drinking less alcohol

a)     Source: https://www.wsj.com/articles/americans-are-drinking-less-alcohol-11547733600?mod=searchresults&page=1&pos=4

b)     I think this opportunity exists because we have hard data on alcohol volumes as described in the article. I also think it exists because I think this is a trend that continues long term.

c)    The primary benefactors are non-alcoholic beverage companies who nw will see higher demand for their products, as well alcoholic beverage companies that can adapt to new consumer preference.

d)     I think it will be easy to exploit this opportunity as many large alcoholic beverage companies have significant capital to expand into new product lines. For example, Coors can either buy a non-alcoholic beverage company or potentially develop a new product and use their well-known brand name.

I may view this as an opportunity while someone else may not primarily because I am in the age group that is leading the change in consumer preference. Since millennials are primarily the one’s engaging in mindful drinking, we are aware of how legitimate this trend is, while other generations may view this as a temporary thing.

4)     Economic changes: Consumers preference shows they are drinking less alcohol

a)     Source: https://www.wsj.com/articles/consumers-say-brands-shouldnt-bring-their-political-stands-to-the-super-bowl-11547636401?mod=searchresults&page=1&pos=2

b)      I think this opportunity exists because we have survey data that exists as well as well-known consumer sentiment opposing politically infused ads.

c)     The party with the greatest opportunity are strong brands with solid marketing tactics that keep a political view on the sideline during the Super Bowl. The companies that focus on their products and do not try to relate to viewers political views will succeed.

d)     I think it will be easy to exploit this opportunity as companies advertising during the Super Bowl simply do not have to include politics in their ad. If they want to be risky and include a political view, they may be faced with opposition. This should be a breath of fresh air for companies as they know exactly what consumers want to see: an ad focused on the business’s product.

I may view this as an opportunity while someone else may not primarily because I have a strong distaste for political based advertisement, especially when I am watching the Super Bowl. Seeing a blatantly obvious politically infused advertisement makes me angry when I should be enjoying watching football. I am more likely to boycott that business if they rub me the wrong way. Someone else might enjoy listening to a subliminal politcal argument during the Super Bowl, so they might not think companies should follow through on refraining from political based arguments.