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What Is The Impact Of Large Corporation's Impact On Small Businesses After Great Recession

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What Is The Impact Of Large Corporation's Impact On Small Businesses After Great Recession
Large Corporation’s Impact on Small Businesses after the Great Recession

ENG122
Michelle Terashima
04/29/2013

Large Corporation’s Impact on Small Businesses after the Great Recession

The current economic environment caters to large retail corporations and curtails small retail businesses growth. Small businesses have only recently started to make some minor strides in growth. However the growth has been hampered in recent years because of large businesses unfair advantages that have taken place since the “Great Recession.” After the Great Recession, credit freezes from banks caused many dependent small businesses to shut down or downsize because much needed cash infusions were not available. Larger corporations across America including large retail corporations either had cash stockpiled, were bailed out, or still had access to credit lines. That is why due to recent economic conditions large corporations, such as Wal-Mart, AIG, and GM have been hindering the growth and development of the small retail …show more content…
Speaking about the financial environment the United States was in during that time. (Vanderbilt University 2009) There are still many arguments as to what exactly started the financial downturn in 2007 and 2008. The downturn resulted in millions of job losses and billions lost in private equity and liquid assets. Not to mention the almost immediate stop in the mortgage and home construction market. Americans slowed discretionary spending during the next following years. People were only buying necessities and as a result bargain shopped everywhere. Large retail companies had an advantage from multiple fronts. The most glaring was access to credit. Large companies had better access to credit than small businesses. Authors Judit Montoriol-Garriga and J. Christina Wang explain it like
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