The Economy.. will hi end audio mfgs lower prices?

It is worth considering who is the weakest link in the HiFi chain of Manufacturer, distributor, retailer. It seems to me, everyone has options, but the retailer, the least.
The manufacturer can reduce costs and increase margins by selling direct. An option open to the little guy, not to the Sony's, Conrad Johnsons of this world. They can rationalise product lines too.
The distributor can also go for direct sales, cutting out his retail chain, that is happening already in the UK.
The retailer can only cut fixed costs and that is staff and premises. Many again in the UK are going back to working from home, alone, perhaps with a lock up industrial unit for dems, not an expensive main street shop.
There are options at all levels of the chain then. The ones going out of business will be the ones who do'nt respond with a change in business plan. The little guy can be in the best position to weather the storm. The weakest would be anyone with a chain of main steet shops, they really have few options short of shutting a percentage of outlets.

I know this is off the topic of the thread but since there are some related issues about illigal immigrants and China. I would like to add my two cents. I love the people who takes care of my yards. I don't care where they are from. They charge half the price the local company wants to charge me. They come on time. They do their job and leave. They do take their times smoking or shoot the bull over the cellphone. As a matter of fact, they do much a better job than the other well-trained "yard technician". Yeah, keep on bitching about China or Dubai. Without their money, I wonder where we are right now but I know one thing that Hillary is or was in China begging for them to invest and to have trust in the US T-Bills.

Matti, out of curiosity, can you tell me a stock that the stock market has treated kindly :)

SKF

DXD

SDS

GLD

Very good question, it is not likely you will see a big reduction in price on retail unless the company is going out of business but look for falling prices on used gear. If you realistically want to sell used on Audiogon you will have to be willing to compromise on your asking price or not sell at all. Also high ticket items will be a tough sell. During this recession audiophiles are faced with the same economic problems as the rest of the population, and the amount of money allocated to this hobby is somewhat diminshed. I was called a fool two years ago on Audiogon when I suggested that the US economy was heading for a recession & facing hard times.

Do I have a crystal ball? no not really but because of my occupation I was around alot of older folks who lived through the great depession & knew the warning signs. Also when top executives in this country can no longer be trusted to govern Americas institutions, business or otherwise, we have a serious problem. Republicans believe in deregulation but that only works when these institutions are honest & can be trusted. Sorry but my two cents.

Right on PhD!