Low Interest Rates — Impact on Customers, Businesses and the Country
Changes in TAXation and high interest rates affect businesses differently.
Generally, businesses that produce non-essential products such as fancy electronic gadgets, luxury overseas holidays, sports cars, expensive jewelry, etc. are the most affected. It is simply because people can live and survive without those luxury goods and services.
Businesses that produce essential goods and services (normal products and inferior products) such as food and water, clothes, medications, etc. are the least affected by such changes. It is simply because people cannot live and survive without those essential goods and services. People will need to buy them no matter how expensive they become.