By Zara Fearns
American warehouses simply have no space left, but this doesn’t seem to stop consumers from clicking “add to cart.” In fact, we are consuming more than ever: shoppers are spending at record levels, online spending growing over 40% and continuing to increase throughout 2021.
Pandemic shutdowns led to a decrease in spending as well as several factory, port, and store closures. However, as we reopen, many are spending money they saved from the lack of travel and service expenses*. And, as we look towards the holidays, this kind of spending is only going to increase, even though the supply chain is already falling behind.
All of the stuff that we consume must pass through a warehouse before it arrives at a store or at your doorstep. The increase in goods is contributing to the lack of space in these warehouses, but it’s also the lack of workers leading to this buildup of goods. Workers such as truck drivers that transport these goods back and forth are crucial to keep the system from getting congested the way it is now. Building warehouses is also more challenging nowadays. Due to increased shipping demands, such as Amazon’s same-day shipping, warehouses need to be built closer to urban and suburban areas where we are consuming the most.
Before the products even end up at a warehouse, they need to be manufactured and transported. Ports simply cannot handle this surge in imports. Asian manufacturers shut down for weeks due to the Delta variant, halting the supply chain. There is also a worldwide shortage of chassis, which hold containers and allow the transportation of goods on ships. Several other factors at play mean that ports are blocked up with traffic. The trip from China usually takes around a month, but now it can take up to four. It takes longer for shipments to arrive and the deliveries are less predictable, a nightmare for business, and for the workers at every level of the supply chain who are stretched thin as it is. It’s also contributing to inflation, and goods are costing more overall. The supply chain is under a lot of pressure right now, and it’s only going to increase as we move into the holiday season.
1) “‘And if one piece falls off,’ Morris continues, ‘let's say the maestro increases the tempo and no one's ready for it, it all falls apart. And that's essentially what happened’” (John Burnett, NPR). Randal Morris is the chief operating officer of Canal Cartage Company. Do the vulnerabilities in the supply chain concern you? What are potential consequences, for the consumers, workers, and for those at every step of this supply chain?
2) Do you think our pattern of consumerism is unhealthy? Why or why not / other comments? How have businesses like Amazon and online shopping as a whole had an effect on consumer culture?
3) Are the current conditions affecting how you are planning your holiday season, such as getting gifts earlier, in person, etc?
* also wanted to add that this is obviously a privileged position to be in as many people lost their jobs and faced financial hardships as a result of the pandemic, but that this is just an overall economic trend that is being observed
Sources:
https://www.npr.org/2021/11/15/1055796115/warehouses-are-overwhelmed-by-americas-shopping-spree
https://www.ship-technology.com/features/global-shipping-container-shortage-the-story-so-far/
13 comments:
I wasn’t aware that consumerism has risen so much but reading about this does bring up some concerns. The vulnerabilities in the supply chain do concern me. As mentioned, one little thing can happen and then everything else can fall apart. If consumerism keeps rising I think it will start to affect us more and our everyday goods may start disappearing or rising in price. Not only that but workers at these companies and warehouses are being overworked which can be dangerous and even deadly. I believe this pattern of consumerism is very unhealthy. It can spiral out of control. Especially with online shopping, it’s easier to click a button and spend money than physically giving away the paper bills from your paycheck/bank account in store. I think this will only get worse during the holiday season. Recently I have noticed that there has been an abnormally high amount of people shopping in person. Even on a Regular weekday I had to pick up something at the mall and I couldn’t find a parking spot which really confused. I thought that maybe it was because I wasn't used to seeing so many people at the store because of Covid, but there has certainly been a rise and I wonder how it will all play out.
I agree with Gabby on being unaware of the whole supply chain crisis, I had never really thought about the process and how it might be suffering in our era of consumerism.
I'm not entirely sure whether or not to call it unhealthy. While it may be excessive, I think the majority of people have simply shifted to online shopping instead of in-person. At the same time, the volume of purchases and orders have most likely increased due to how easy it is to buy stuff online. I don't think individuals are being impacted by the increasing consumerism unless they have a shopping addiction or own businesses that might be competing with Amazon or other companies. However, this is coming from someone who would not consider themselves an avid consumer.
I do believe that the accessibility provided by the internet and shipping companies is the cause behind increasing consumerism. Previously in America, the extra step of having to go to a store in person proved to be enough of a hindrance or annoyance to prevent people from constantly buying things. Now, people don't have to do anything other than to click a few buttons and poof, their items are on the way.
While people might not consider the rise in consumerism to be a bad thing, I think that it could easily spiral out of control, especially with the already present supply chain crisis.
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I think our pattern of consumerism is beneficial in some ways, but concerning in others. Obviously, during events like Covid, online ordering played a large part in maintaining at least one offshoot of the consumer industry. Although for the consumers themselves, online shopping was easy, convenient, and safe, for the actual industry that is producing and distributing the goods it has been harmful. It's good that Americans are spending money, but when it begins to be a detriment to such a large and important industry, it seems like maybe the spending needs to slow down in order to allow warehouses and distribution efforts to build back up.
Another negative effect is what storefront shopping has become as a result of rapid online consumerism culture. Everywhere we go we see small stores such as boutiques and coffee shops closing, and recently even chain stores have been struggling. This may just be a sign that companies need to start changing with the times, but I think it's problematic that a mass destruction of the in-person industry is happening in order to make this chain because some businesses will not build back up in an online space and will instead just disappear.
Of course, this is all fueled by our own actions. The extra money saved up from staying home during covid being spent on mundane items is fine, and people can spend their own money however they want, but at some point I think we should re-evaluate priorities. It's obvious that a lot of the population, that can afford it, has lost control over their spending habits, and every free moment they get in class, or even at work, is spent browsing for the next item to add to their closet or that thing that they don't need, but want. Everyone is guilty of this, but as we have talked about in class, internet algorithms are built to make us uncontrolled consumers, and this blog post is just showing evidence that the algorithms are effective.
The vulnerabilities in the supply chain certainly concern me. The main consequence for consumers is that it will take much longer for them to receive their orders, which could become a logistical nightmare. Although consumerism is partly to blame for the supply chain crisis, Covid-19 is the main factor. The Ship Technology article notes that after the start of the pandemic, shipping companies ceased cargo ship flow, and containers could not even be returned to Asian countries due to Covid-19 restrictions. Anyways, the consequences for workers are simple: less pay, more work hours, and maybe even shipping company closures. According to a Food Logistics article, during the supply chain crisis "temporary employment agencies are often used because they fill hourly positions quickly and easily. This model yields poor employee/employer alignment and leads to short-term employment, sky-high turnover, lower earnings for workers and costly training." In other words, Covid-19 initiated a domino effect on all aspects of the shipping businesses, with the workers feeling the brunt of the impact.
I think that our patterns of consumerism are both health and unhealthy. Ordering products online was a saving grace for us when it was unsafe to shop in stores, and there are many consumer products such as masks and hand sanitizer that proved crucial in slowing the spread of the virus. So, when people are ordering masks and hand sanitizer in excess, that is a good thing! However, ordering bath bombs and charcoal face masks in excess might not be the best thing in the world. Also, the convenience of ordering products online doesn't necessarily make excessive spending healthy, but it is certainly natural. Consumers are noticing an opportunity to save energy by ordering products online, and they are taking advantage of it.
Lastly, on whether the supply chain crisis is affecting how I'm planning my holiday season, it really isn't. I normally make my own presents and don't have a lot of tolerance for delayed amazon orders or relentlessly annoying retail workers. However, I had the same mindset before the pandemic as I do now, it is not necessarily a response to the crisis.
Overall, the consumer crisis is concerning, but freedom in America transcends many boundaries, meaning people still have the freedom to buy all of the useless products they want - it's just a sad reality that many of them do.
Food Logistics Article - (https://www.foodlogistics.com/professional-development/hiring/article/21627859/workstep-overcoming-the-supply-chain-labor-crisis),
With the advent of machine learning and robots, supply chains have become far more efficient over the past ten years. However, this still sometimes isn't enough to match the demand of the global consumers. Vulnerabilities in supply chains are very concerning, not only because employees could lose jobs, but because the effects of a broken supply chain can ripple over into other industries. For example, if there is a shortage of rubber, then there might not be any tires for planes, now airline mechanics can't install new tires, planes aren't safe, and flights get cancelled. Now tourism money is down because people aren't traveling. The interconnectedness of the globe means that a supply chain disruption in one sector can damage other sectors of the economy.
Our pattern of consumerism is certainly unhealthy but it won't stop. The advent of instant gratification is a major development of the information age. With social media, the internet, etc, the dopamine other pleasure neurotransmitters in our brian have permanently changed to adapt to this instant gratification. This extends to our spending habits. Is it unhealthy? Yes, of course, but we can't change it. Once we've gotten hooked to dopamine, we won't be able to break the cycle at least on a macro scale. As much as major corporations are to blame for fostering this culture, some would argue that it's bound to happen. As the world became more interconnected, even as far back as the 50s and 60s with widespread air travel, people began to need information fast. As letters turned to telegrams turned to phone calls then emails and texts, speed of information (and gratification) became the bottom line. It's no different now with how we shop. Yes Amazon and online businesses continue this trend, but it's been occurring for decades.
Personally I think the weakness of the supply chain is the only hope left for the proletariat to rise up and overthrow the producers in order to ensure a society of equality. Hopefully the supply shortages run hard enough that the business loses control over the working class. Maybe people can wake up and see how those with the means of production only derive their power because we allow them to have power over us. This supply shortage is the best shot the anarchists and state socialist have had in a long time to reunite under a just cause and create a strong enough force that can topple the upper class and starts the workers revolution. While I understand that there would be disagreements on what a workers world would be and would cause infighting(worker power through the state or union, big communes, many, whos to say), I think that bridge will be crossed far later in the future. However, if the supply chain is fixed I fear that consumerism will continually grow and more and more workers will become too dependent on the system to fight with their comrades for equality, that more of these “scabs” will actually fight against their fellow workers despite the righteousness of the cause.
Additionally I think that consumerism in American culture is extremely unhealthy. Consumerism as it is currently, a tool to keep the population docile. I personally feel that what consumerism is for the upper lower class to upper middle class is what drug substances are to the working class and impoverished. For a more clear example I like to point to the Russian Empire. How in Russia vodka was produced and manufactured by the Russian nobility and Tsars used to keep the serfs and peasants addicted and uneducated to prevent uprising. This dependence on alcohol to control the masses was so effective that even after the revolution of the Bolsheviks, Stalin would eventually bring back alcohol to help prevent dissidence. Today we still see the effects of alcohol on Russia with nearly half of all suicides in Russia being attributed to abuse of alcohol. Now while consumerism may not be as harmful and deadly as substance abuse I argue that it is just as effective, if not more as a tool by the elites to control and subjugate the working class. Consumerism has increased to such high levels as stated in this article that it has made Americans apathetic to the world they live in. it stifles change and creates decadence. Decadence that doesn't isn't just for the elite like it was 200 years ago, but decadence that oppresses the working class. Workers no longer question their position, they feel as though their standard of living has gone up because of consumerism when it really hasn't in comparison to those with the industrial power. In this sense consumerism has bred the uneducated and has created more scab workers than ever before. It is imperative that the dangers of consumerism are understood and acknowledged to prevent further power consolidation by the elites.
As for the final, and most important question . . . no I can't say that the current conditions will affect me, I'll probably get everyone I need to get a gift for a gift card. Since I don't have a good ability to read what people want without asking them upfront. Hopefully anyone reading this doesn't spoil my Christmas gift for them. And my general spending, I usually try to limit myself buying what I need when I need it.
I do think that our pattern of consumerism is unhealthy, especially in terms of the detrimental environmental effects of it. Mass consumerism produces so much waste as we constantly have the desire and the means to be purchasing new products on a yearly basis (that could easily last us in a practical manner for many many years or more). Phones, for example, are now commonly replaced on a yearly basis when they could practically last people well over 5 years. Landfills are already overflowing, trash management is overloaded, and waste tends to end up in all types of wildlife and nature, commonly killing animals that see the trash as food. The current conditions are definitely affecting my holiday season. Practically nothing I've ordered in the past few months has been delivered on time, which has been quite an inconvenience for things that I need before deadlines (such as card sleeves for the board game!), and I'm now forced to plan much more ahead for holiday gifts than I have been in the past. I'm in a privileged position to be writing about this and complaining, but I do think that it reflects both the issues of mass consumerism and the issues of our supply chains. Vulnerabilities in the supply chain are also incredibly concerning to me, and is apparent to me in things like the current paper shortage (which I'm helping to cover as a part of ATV news). Consumers obviously face problems as they do not receive their packages and deliveries on time, but workers also face issues as they are left with the packages to process, possibly leaving them out of work (or overloaded with it as the piled up packages finally make it through chokepoints).
Responding to Pascal’s comment about the proletariat rising up to overthrow the bourgeoisie with the opportunity of a supply shortage, unfortunately, a proletariat revolution is unlikely to happen and/or succeed now or in the near future.
For example, the Zapatistas, an organization known for creating autonomous indigenous communities outside of their neo-liberalist state apparatus, sent a government official to the Mexican government. Their action proves that these libertarian groups that reject the state will always go back to that system.
Capitalism is also inevitable which moots any of the opposition that Pascal hopes for. The lumpenproletariat are the lowest people in society who Marx states are unable to realize class consciousness because they rely too heavily on the bourgeoisie (like the chronically unemployed) meaning they do not have ambitions to help a revolution to risk themselves for the proletariat who cannot help them.
In addition, a 2012 Pew poll found that 63% of Americans want there to be a rich class with 47% of people in the 18-29 age group believing they will one day be rich meaning it is too ingrained in our society and the primary age group to be mobilized has the highest hopes to be rich. Neo-liberal economics has streamlined smooth running of capital through economic interdependence and propagation of capitalism which is why 1970, 1990, and 2008 the government bailed out capitalist entities proving that governments won’t let capitalism end.
After reading this, the vulnerabilities in the supply chain do concern me. Vulnerabilities emphasize the importance of everything because like Gabby says, if one thing breaks down, then it can effect the process of everything else. I wouldn't necessarily say that our pattern of consumerism is unhealthy because like the article explains, with the effects of COVID-19, business has spiked more than ever, so I do think it is good for companies to be easily accessed. Personally, my family and I always shop online whether it be for gifts or our holiday meals, it has definitely made our lives easier. Overall, I do believe with how often people use online sources for their every day needs, I do think it runs the risk of spiraling out of control if it is not properly maintained.
In response to question 2, I do believe that consumerism is unhealthy because it detrimentally impacts the environment. This blog post pointed out the interesting phenomenon of consumerism rising due to people searching for ways to spend their money after more than a year of not traveling nor being able to spend their money on activities they'd usually partake in. Especially during the holidays, consumerism skyrockets. According to the interim food waste director for the Natural Resources Defense Council in USA Today, around 200 million pounds of turkey are thrown out after Thanksgiving, contributing to great amounts of carbon emissions. Statistics on www.use-less-stuff.com reveal that "Americans throw away 25% more trash during the Thanksgiving to New Year's holiday period than any other time of year. The extra waste amounts to 25 million tons of garbage, or about 1 million extra tons per week!"
Small businesses that suffered in the pandemic's wake may benefit from an uptick in consumerism.
I do believe our consumerism habits are unhealthy. I completely agree with Grace that these habits have detrimental effects on our environment. I find that this statement is especially prevalent when considering online consumerism. Obviously, today’s advanced online purchasing has many luxuries including cheaper prices, express shipping, and not having the hassle of having to pick up in store. That said, this has greatly increased our tendency to opt online instead of in person. As a result, each item must be individually packaged in order to be shipped, exponentially increasing our use of plastics and other materials which are adding to our waste. Especially with Amazon prime, these small, bubble-wrapped packages can contain only one singular item. This can add up to 2-3 packages a week for individuals. On another note, I think our consumerism habits have become more unhealthy because with easy online purchasing, it seems impulse purchases have increased. For example, the “buy with one click” feature on Amazon’s app makes it easy to purchase something with little thought and reflection on its financial impact. A recent CNBC poll shows that only 39% of Americans are prepared for a $1000 cash emergency. Of the remaining 61%, the majority of respondents stated that if faced with such an emergency, they had no plan other than taking out a personal loan or borrowing money. Only a small minority considered adjusting their spending habits. That said, these spending habits are clearly affecting people’s lives, and for the worse.
I think that the "weaknesses" in the supply chain isn't completely weakness, they expose our increasing tempo for consumerism. With the raising of possibilities for fast shipping that Amazon offers, the tempo can only increase as a consequence. I think Grace said it well, the environmental effects are absolutely more detrimental (and they were already).
Looking at this article from UofW's Supply Chain Transportation & Logistics Center, apparently in September 2019, Amazon announced a commitment to fighting climate change, claiming that a typical order is more environmentally friendly than a person driving to a store. It seems to be true, but speed and high demand for products definitely makes things more difficult.
I think that especially with the Christmas season coming up, people will be definitely prioritizing fast shipping to get all gifts in time, over our environment. When options like fast shipping are available, it is hard to relieve pressure off the supply chain and find solutions, even when people are aware of the environmental consequences, unfortunately.
https://depts.washington.edu/sctlctr/news-events/in-the-news/amazon%E2%80%99s-1-day-shipping-convenient-%E2%80%94-and-terrible-environment
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