Monday, March 28, 2011

Two very interesting terms I came across and want to discuss.......

Men's Underwear Index

An unconventional measure of how well the economy is doing based on sales of men's underwear. The reasoning behind this measure assumes that men view underwear as a necessity (not a luxury item), so sales of this product should be steady - except during severe economic downturns, when men will wait longer to buy new underwear. The notable decrease in underwear sales is said to reflect the poor overall state of the economy. Conversely, when underwear sales pick up, the economy is considered to be improving.

Lipstick Index

The lipstick index is a term coined by Leonard Lauder, chairman of the board of Estee Lauder, used to describe increased sales of cosmetics during the Early 2000s recession. Lauder made the claim that lipstick sales could be an economic indicator, in that purchases of cosmetics - lipstick in particular - tend to be inversely correlated to economic health. The speculation was that women substitute more expensive purchases like dresses and shoes for lipstick in times of economic distress.

2 comments:

  1. Well explain Divas...now i think no one will forget this concept...

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  2. hmmm...lipstick index is explained in gr8 way... i figured out a totally weird explanation!!! ;P

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