Edwin A. Obasogie Management Series Vol4. 2016

SURVIVING A RECESSION

A recession is a period of economic contraction in a country during which trade and industrial activities experience a decline. It's measured in economics by a decline in the country's GDP for two or more consecutive quarters.

GDP (Gross Domestic Products) is the market value of all goods and services produced within a country in a given period of time, usually measured monthly, quarterly and annually.

A recession is therefore usually characterised by massive job losses, business shut downs, hyper-inflation, scarcity of credits, capital flight, brain drain, increased crime rates, relocation of industries out of country, repatriation of FDIs (Foreign Direct Investments), gradual erosion of the middle class, etc.

The middle and lower class must therefore switch to survival mode and adopt the following strategies:

1. Reduce spending as far as possible to basic essentials and increase savings 'cause cash takes its kingship position.
2. If you still have a job, cherish it and work very hard to keep it, ensuring that if your organisation has to lay off its workers, you won't be first on the list! Be exemplary, put in more efforts than the average employee, impress your bosses, develop yourself.
3. If you want to invest, target sectors that meet basic physiological needs of food, clothing, shelter, water, etc. This is where you'll have a higher chance of survival as it's where the "common man" will sill be spending.
4. Cash will be king! Huge opportunities also exist in a recession as people would sell off their assets cheaply in desperate need of cash. So, if you have cash in bank, keep it, buy cheap and wait till after the recession!
5. There will be Ponzi schemes targeting the now vulnerable masses with promises of fantastic returns on their investments. Remember, if it's too good to be true, it probably is! Stay off!
6. Diversify your sources of income asap, especially if you're in paid employment. Spouses should both work to support each other. Also try to make ur money work for you by investing the accumulated savings in non-risky ventures.
7. Be careful about lending to friendly borrowers this period because it would not likely be paid back as at when due. Give out only what you can afford to lose!

For brevity sake, I'm unable to go into causes of Nigeria's current recession. Perhaps that will make a good topic header for another day.

Have a beautiful day, it's a beautiful world out there,... Recession or no recession.

Nice points OP