Identifying Opportunities in Economic & Regulatory Trends

Economic trend:

Source: https://www.vox.com/the-goods/2020/2/3/21080364/fast-fashion-h-and-m-zara

1. This article is regarding the economic trends of fashion in 2020. 
2. I believe an opportunity exists because the need for more sustainable and ethical practices in fashion is becoming more prevalent as years past. The 2020 McKinsey report on the state of fashion predicts that revenue growth will slow and that sustainability will continue to be a hot topic. 
3. The customer of this opportunity are people who regularly purchase clothing. If consumers are becoming more aware of poor practices than brands need to reconsider their production methods. 
4. I believe this opportunity is relatively difficult to exploit because controlling fast fashion has a long way to go. Fashion economic trends have led to a slower pace in revenue growth. However, it still difficult to see if these changes will do as much good as we think they will in an economic sense. 

Why did you see the opportunity: Personally, I’m an advocate for ending fast fashion. I haven’t purchased a piece of clothing from a fast fashion brand in over 2 years. Most of my closet is second-hand pieces so I know that moving away from the convenience of fast fashion is doable. 

Economic trend: 

Source: https://www.bloomberg.com/opinion/articles/2020-01-27/a-healthy-consumer-means-more-retail-disruption

1. This article is regarding how Gen Z shoppers are strong consumers of organic and natural foods. 
2. I believe an opportunity exists because there has been a shift in the importance of healthy food in recent generations. The consumption of organic and natural foods is highly dependent on age demographics and less to do with income. People are more willing to spend a bit more for better quality food. 
3. Customers of this opportunity are people younger than 55 years old. In general, usage for organic foods drops after the ‘55 and over’ age bracket. 
4. I think this would be a relatively easy opportunity to exploit since income does not seem to be a major factor as to why one would seek healthier options. There is definitely an opportunity for shifts in food economic trends. 

Why did you see the opportunity: Being someone who follows are plant-based diet, I can see why the market for organic foods has grown over the past few years. More recent generations are becoming more aware of what they are putting into their bodies. For example, places like Trader Joe’s are doing so well because of this higher standard for food. 

Regulatory trend: 

Source: https://www.wsj.com/articles/usda-proposes-relaxing-school-lunch-healthy-eating-rules-11579300490

1. This article is regarding federal regulators changing healthy eating rules. 
2. I believe an opportunity exists because it may bring forth new food items for school-age children. The U.S. Department of Agriculture is planning on loosen rules on which vegetables schools are required to serve. This would give schools more breakfast options in an effort to simplify the program and reduce food waste.
3. Customers of this opportunity would be parents who allow their children to eat school lunch. This rule may encourage parents to pack some food for their child’s lunch. 
4. I think this would be relatively difficult because some families don’t the ability to pack their children’s lunch. Hence, why some people are seeing this rule change as a way for students to have more leeway in choosing foods like pizza and burgers over balanced meals. 

Why did you see the opportunity: Being in public schools may whole life, I can understand both sides of the issue. Most younger students are not going to eat every healthy item in their balanced school lunch so unfortunately much of it goes to waste. However, taking away that option can cause issues in the student’s health. For that reason, finding a more realistic food selection would be better than eliminating all the healthy options. 

Regulatory trend: 

Source: https://www.fool.com/investing/2020/01/07/president-trump-decides-to-ban-flavored-e-cigs-aft.aspx

1. This article is regarding the ban on flavored electronic cigarette pods. 
2. I believe the opportunity exists because there will eventually be other alternatives for flavored nicotine products that will hit the market. Ideally, this new regulation will reduce nicotine use but it may be an opportunity for users to find other ways to find these products. 
3. The customer with the opportunity would be individuals who are currently buying e-cigarettes. 
4. This opportunity is relatively easy to exploit because more and more information is coming out about the negative effects on these devices. Hopefully, these efforts will cause a positive change for people with nicotine addiction. 

Why did you see the opportunity: As a college student, I see many people who use these nicotine products. I’ve never seen the interest in them but it is concerning to see how many younger people are addict to them. Therefore, this regulation will make it more difficult to access these products.