Global Financial Crisis Article Example | Topics and Well Written Essays - 2500 words

Global Financial Crisis - Article Example On the other hand, the corporate sector faced critical conditions as money flow in the market reduced as a result of decreased consumer confidence. Another crucial set back was the increased job cuts in order to maintain the operational expenses. Most of the firms tried to counter the impact of global recession by reducing their activities and redesigning their business activities for facing the next boom period while others engaged in the new product or service development processes for keeping the consumers engaged with the business. In context of the current state of the recession, some economists believe that the after effects of the recession still exists but the US Government maintains that the current economic problems faced are not related to the global financial meltdown. The recommendations provided are to focus on new product and service development and also to develop the business network by forming alliances and partnerships with other relevant institutions. The study co ncluded that while the global financial crisis is considered to be over other economic problems being faced by the organisations and governments can be a sign that the phenomena still exists. The financial meltdown of 2007-08 is mostly referred to as the global financial crisis which has been termed by Gries and Naude (2011) and Crotty (2008) as one of the biggest economic and financial hits since the Great Depression of 1930s. Some of the key questions being debated in context of the global financial crisis of 2007-08 are regarding its origin, its influence and most importantly if the crisis is still looming or is it finally over. According to Pizam (2009), the global financial crisis mainly targeted the Western countries and effected their business segments as well as their customer groups. The challenges faced by the firms were related with their international as well as the domestic operations. Many big firms had collapsed during