In Response to Michael Thompson

Michael Thompson's Blog
In our modern day, it is apparent that the "Overspent American" is getting worse. Do you think that things will continue on that path? When will it eventually be too much?


Until society stops viewing personal assets as success, no, I don't think consumerism will decrease or stop.  The recent recession only made people cut back on materials they were buying, it didn't make them stop. There are standards that people feel they need to meet in order to be "happy"; they buy the million dollar home, the Range Rover, and have the most recent technologies so that they feel successful in the eyes of their peers.


We live in a very competitive society, and companies know that. Companies such as Apple and even UGG know that if they keep producing new products, they can continue to raise the price and people will still buy them because their products are what people "need".  People in our society feel that they need to have the newest products because that is the only way they will be noticed.  


As long as companies keep producing new and improved products, the percentage of "Overspent Americans" will keep growing.  Debt is going to increase in many American homes because people care more about image than they do on their income.  Even if this means working 70 hour work weeks in order to pay the mortgage on their customized Mansions.


Perhaps once our parents pass and we are handed bills for hundreds and thousands dollars in debt our generation will realize the severity of the "Overspent American".
Do you think by raising prices companies are playing a part in the amount of debt Americans have?

ELLE Magazine does Facebook

ELLE Magazine, known for their high fashion trends and shopping tips has recently spread to Facebook.  Customers no longer have to purchase the clothes found in ELLE to show their friends.  The ELLE fan page on Facebook now has the option to view their "Trend Guide", which allows users to view six different models in six different trends and choose if they "love", "want", or "own" a particular item.  After rating the article of clothing, it appears on the users Facebook page for their friends to see.  The fan page also has a link to the designers webpage where you can purchase the item.


The "Trend Guide" will be updated seasonally and will stay up to date with what ELLE is promoting in their magazines.  Vice President of ELLE, Kevin O'Malley made a statement that this campaign is not meant to completely increase their sales, but to increase their social networking with their customers.  However, O'Malley is unsure of how users will feel about this new movement.  The campaign hopes to widen their fan base to Facebook users who may not read ELLE Magazine by allowing other users to share the materials ELLE posts to Facebook.


In an attempt to strengthen their fan base by increase social networking, do you think Facebook is number one network to use?  How could an increase in use of Twitter and Blogging help strengthen their fan base?