Population Exceeds 7 Billion: So Does Your Potential Market
In October 2011 the world’s population finally surpassed the seven billion marker, marking a significant step towards overpopulation. Overpopulation, however, is not all doom and gloom; it is a sign that the world’s markets are growing. This doesn’t mean that people are getting richer, it simply means that there are more people to sell things to.
Capitalising on this growth will define whether a business begins to turnover trillions rather than billions. However, the real inspiration in the population growth figures is how quickly (in the grand scheme of things) the population has grown. In the late 1800s the population was around 1 billion, in 1927 it was around 2 billion and in 2011 it is 7 billion. This might seem like a long time, but in the timeline of history, it isn’t. Considering that humans have existed for 200,000 years, and have been in their present form for 50,000 years, the fact that the population has multiplied by 7 in only 120 years is remarkable.
This provides many useful analogies to the world of business: how quickly a business can grow, turning big profits into bigger profits and the power of reinvestment.
However, the figure’s utility is largely in providing hope to small businesses. Hope that with a market as big as 7 billion people, they should be able to target a fraction of that market and make some money.
One small business that has been buoyed by this news, SOLTD, has expressed the hope that this news brings,
‘Well, knowing that so many people are out there certainly makes it easier for us to come up with a global strategy. We were hit pretty hard by the recession, but this gives us confidence that we can make our business work again. We’ll try hard and I’m confident that we’ll continue to see the kind of profit growth that we’ve been experiencing over the last few months.’
The CEO of SOLTD made an insightful comment about the recession: in times where pessimism about the market restricts growth, hope may be the cure for a stagnating economy. If people see hope, they’ll be more inclined to reinvest. When people reinvest, we’re more likely to see economic growth. Of course, with population growth comes some detriment, such as overpopulation, overcrowding and overuse of resources. However, with an optimistic attitude there’s no reason not to make the most of the increase.
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