The Paradox of Economic Cycles

The industry that revolves around Fashion Clothes can leave you puzzled with its cycles of supply and demand. It is no mystery that every year the big fashion houses presented their new clothing collections, several weeks before the season starts seasonal. At that time there will be a group of eager buyers of the last scream of fashion, who will not resist joining the exclusive consumer vortex at high prices. This custom feature them among their peers, less informed on the latest trends in Fashion Clothes, and also highlight among those unable or unwilling to buy at such high prices. However, stand out and differentiate from the rest of your peers is a motivation that has existed for millennia in the history of man, so what we see today is just the result of a sophisticated network of fashion industry to impose their own terms and maintain a steady demand for its services. In short, the fashion industry does not sell clothes, but sold status, one of the most precious commodities of our modern society.

Thus, establishing a cyclical industry, where some trends that went out of fashion some decades ago, re-imposed almost unchanged. For example, there will be a time when ladies shoes have sharp points. In another period, ladies shoes have rounded edges, and in another year these shoes have a straight tip. The psychological effect that occurs in women changing trends of Fashion Clothes is simply devastating: they could not bear to walk carrying something in abeyance, and very comfortable as what you are currently using. Is that the best motivator psychological pressure for consumption of new trends in Fashion Clothes? No matter the price you might have to pay, nor considering that at the end of the season, prices become very low to the ground. The emotions only exist and have full force at the present time.

So, how is the paradox of those who pay high prices for the Fashion Clothes are a few, and is a low demand for the product that represents status? Later, those who wish to join the new trend will produce a disincentive to those who used the first items of the new trend. This is where a break occurs when fashion become more popular, the result is that the price falls, and the new trend becomes an old trend. Then, higher demand, lower the price. The effect is amazing and because we go through different seasons Clothes Fashion industry can be confident that economic downturns do not depend on or will be influenced by inflation and high rates of dismissals, because consumers will always search for status.

Of course in this equation there is a very important missing element, and should be appointed to clarify the matter. Those are the media and their faces. Without them the Clothes Fashion industry could not thrive. The media are obviously heavy users of new content and brilliant. The best of such content is obtained by what they do and say the most prominent faces of each society. When we speak of “faces” we are just talking about artists, and important individuals. It is they who reflect the new trends to the masses of people, eager to learn about the lives of their idols. It is the fastest way to impose a new dress. The new fashions are first used by the faces of our society.

The Clothes Fashion industry is a fascinating business form worthy of study in depth. It represents one of the great paradoxes of the conventional economy and should serve to change our economic paradigms. At the end of the day, people buy what they want, and do not buy what they need.