Show me the money
The sting of recession is even more acute after Eid. Eman Youssef shops around
Ramadan and Eid shopping momentarily helped shop owners forget the recession Egypt has been suffering through over the past couple of years. Things, however, seem to have returned to normal. Since Eid most shops have seen few customers and retailers are again complaining about the economic slowdown.
"People are staying away. Shopping just isn't on people's minds," said Adham Mohamed, a clothing store owner, adding that most people already did their shopping and "now want to buy nothing".
In a recession, when consumers are often price-conscious and set on finding the best bargain, Mohamed says, "the market should be tailor-made for bargain hunting."
Mohamed, like many retailers, feels that this year "has not been a stellar year". Indeed, the economy first showed signs of sluggishness back in the spring.
Ahmed Hosni, an owner of a clothing and cosmetics store, said, "in a recessionary environment like we are witnessing, people are very value-conscious and want more for less. People cut down on luxury items and pay less for everything they can in a recession." He said some shop owners hope to reduce the effects of the recession by "slashing prices to lure shoppers into their stores".
Ahmed El-Shami, a clothing store owner in Nasr City, had a high turnover during Ramadan, although he too saw a slump after the Eid holiday. He is, however, looking forward to a good holiday season in the coming months.
Retailers are also looking forward to the spending surge that often follows economic downturns. They may be in for a disappointment, however. Many economic forecasters expect the recession to last through the holiday shopping season and into the next year. In fact, the majority of retailers are pessimistic, expecting their sales to remain slow or show only slight improvement.
Al-Ahram Weekly Online : 4 - 10 December 2003 (Issue No. 667)
Located at: http://weekly.ahram.org.eg/2003/667/ec3.htm