During a recession, some industries tend to do better than others. Here are the top 10 industries that tend to perform well during a recession:
- Healthcare: This industry is considered recession-proof because people will always need medical care regardless of the state of the economy.
- Grocery stores: People still need to eat, even during a recession, so grocery stores tend to do well.
- Discount retailers: People are more likely to shop for bargains during a recession, so discount retailers tend to perform well.
- Essential services: Industries such as utilities, waste management, and telecommunications are considered essential and tend to do well during a recession.
- Home improvement: People may cut back on luxury expenses during a recession, but they may still spend money on home improvement projects to save money in the long run.
- Online retail: With more people staying at home during a recession, online retail tends to do well as people opt for the convenience of shopping from home.
- Technology: The technology industry is often considered recession-resistant, as people continue to rely on technology for work and entertainment even during tough economic times.
- Debt collection: Debt collection agencies may see an increase in business during a recession as more people struggle to make ends meet.
- Pharmaceuticals: As people age, they tend to require more prescription drugs, so the pharmaceutical industry tends to be relatively stable during a recession.
- Security: During a recession, people may be more concerned about security, leading to increased demand for security services.
It’s worth noting that while these industries tend to do well during a recession, the specific impact on any given company within the industry can vary greatly.