6 - Identifying Opportunities in Economic & Regulatory Trends

·      Economic trend: The price of Chinese solar panels is going to go up

o   Source: http://fortune.com/2019/01/24/chinese-made-solar-panels-recover/

o   I believe this opportunity exists because the US President put a new tariff on solar panels, furthering trade tensions between the US and China. In addition, the largest Chinese producers of solar panels are recovering their profits, which will drive small producers out of business. Large companies will then be able to monopolize the industry and control prices.

o   The prototypical customer in this situation are people, companies, and governments that buy solar power from China. Also, small production companies that face bankruptcy or unions.

o   The opportunity is relatively difficult because of the underlying political tension among the US and China that is affecting heavily affecting this industry. The US President claims the tariff will be beneficial to American workers and consumers, but many small Chinese companies will suffer.

o   I think I saw this opportunity because I am very in tune with environmental concerns and trends. One of my career goals is to improve environmental systems in order to save our world from devastating consequences. As part of Sustainable Business Group, I research sustainable methods of business practices, including renewable energy sources.

·      Economic Trend: Baby Boomers Aren't Retiring

o   Source: https://www.thebalance.com/retirement-crisis-stats-causes-effect-3306215

o   I think this opportunity exists because there is statistical data to support the claim. In 1983, 62% of companies offered pension plans, compared to a mere 17% today. In addition, the 2008 financial crisis and the increase in income inequality have strained older workers no longer earn enough to maintain their living conditions. In addition, healthcare is the second-largest expense for retirees, because Medicare does not cover long-time care.

o   The prototypical customer are older American workers who can’t afford housing and healthcare expenses without a job.

o   The opportunity is difficult to exploit because millions of Baby Boomers are affected by lack of pension plans and Medicare coverage. Governments and companies would have to rearrange their budget in order to afford programs and benefits. Also, there has been a lot of political tension about welfare programs and about companies’ responsibilities to their employees after retirement, that greatly hinders progress.

o   I saw this opportunity because I am very interested in economic trends and I have an older co-worker who was deeply affected by the trend in lack of effort from companies to look after their employees after retirement. After more than 10 years at Whole Foods, she was a few hundred hours away from having all of her medical expenses covered after she retired, but Amazon’s purchase of the company eliminated that option for team members, and they just gave her a one dollar raise as compensation. She was devastated and is forced to keep working to cover all her bills, despite being in constant pain from having to stand for hours at a time.

·      Regulatory Change: Quicker and Safer Disposal of Airbag Waste

o   Source: https://www.epa.gov/hw/interim-final-rule-safe-management-recalled-airbags

o   This opportunity exists because Takata airbag inflators in causing an urgent public health issue, and the EPA must act to prevent further harm. Long exposure to heat and humidity increases threats that the defective airbags ruptures when deployed, leading to increasing injuries and deaths. Dealerships, automotive salvage and scrap yards will have some exemptions from the Resource Conservation and Recovery Act (RCRA) hazardous waste requirements if they remove airbag waste.

o   The prototypical customers are “airbag waste handlers” that will benefit from airbag waste being easier to dispose because of lifted requirements.

o   This opportunity is relatively easy to exploit because relaxed regulations means that it is cheaper and quicker for handlers to remove airbag waste. Also, the EPA is pushing for quick removal because of the health concerns with the airbag ruptures.

o   I saw this opportunity because I’ve had issues with car parts that were recalled before. I’m aware that it’s important to replace recalled parts because it is a major safety concern that can have serious consequences.

·      Regulatory Change: Development of an over -the-counter drug that reduces the risk of an opioid overdose

o   Source: https://www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm629571.htm

o   This opportunity exists because deaths due opioid overdoses have more than doubled in the last decade. Wider availability of an over-the-counter drug that combats overdose effects such as loss of consciousness and shallow breathing, will save lives. There are currently drugs that reduce opioid overdoses that require prescription, but many don’t have easy access to the healthcare services they need.

o   The prototypical customers are the pharmaceutical companies willing to produce an over-the-counter product, and the potential victims of an opioid overdose in which an OTC drug would save their lives.

o   This opportunity is slightly difficult to exploit because the FDA has not provided a Drug Facts label, a costly and time-consuming process for OTC medicine. However, the FDA has taken exceptional proactive measures and developed tests to encourage drug companies to produce the drug.

o   I saw this opportunity because I am extremely aware of FDA reports that relate to health and safety. In addition, I’ve been a victim of the healthcare system because of the lack of access to affordable medicine in the United States.