Basic Living Needs are Important for Long Term Growth

A quick economic recovery may prove more likely, if society does not neglect market potential for lower income levels. These markets tend to be built around basic needs as well. While I normally advocate for long term structural reform for low income levels, productive short term responses are equally important. If one isn't convinced this form of market representation really matters, only consider how companies such Dollar General and Walmart continue to prosper in pandemic times. These corporations share a similarity of willingness to provide for the needs of low income groups. Why can't more business models assume a similar useful approach?

It's not difficult to envision how market potential could be tapped, for basic needs in non tradable sector capacity. Indeed, entrepreneurs who are willing to invest along these lines, might also gain recession proof models as their reward. In particular, better market solutions are needed for low income groups which already faced substantial housing issues before the pandemic. How might one consider business possibilities for these groups?

For one, mobility strategies are key. Nevertheless, clear usage models or patterns are necessary, to prevent confusion with business strategies geared toward middle to high income levels. An apt example re the latter, is standard RV park rental costs, not to mention the expense of purchasing recreational vehicles or other transportation heavy enough to tow camper trailers. Fortunately, there's a wide range of amenities in RV and camper markets which could be made more accessible for lower income levels, by making their manufacture more portable and less dependent on expensive infrastructure or transportation.

Why hasn't RV living provided reasonable options for lower income levels already? A Google search result concerning RV park costs (and posted in 2014), illustrates how this market has been mostly out of reach of low income levels for some time:

Overnight campsite and RV park fees with hookups typically range from $30 to $50 per night or more. That is $900 to $1500 per month. However a lot of full timers avoid paying anywhere near that much and average closer to $500 to $900 per month. 

Alas, good luck finding suitable camps close to one's work on the lower end of this range! Since transportation costs make additional demands on small monthly wages and fixed income, many individuals end up living in their vehicles while furtively seeking places to park overnight for no charge. This reality needs to be changed.

Nevertheless, one challenge for low income market representation, is the understandable safety concerns on the part of communities which hesitate to provide temporary residence for low income groups. Because of these concerns, when land use is permanently altered with the appropriate physical infrastructure, often the only way business proposals for RV parks can get through, is by convincing communities that only financially secure consumers (middle and upper class) will be allowed. This is an important reason why lower income levels have lacked sufficient access to many living options which would otherwise be more affordable than traditional housing.

Perhaps the most feasible way to overcome this impasse, would be to seek out land where portable physical infrastructure can be brought in, rather than imposing permanent land alterations on reluctant communities. As to RV parks and similar arrangements, what about empty parking lots where big box stores and malls are no longer functional? Portable infrastructure mobile units could be trucked in, allowing entrepreneurs and communities to experiment with trial periods to discover whether proposed operations can prove suitable for all involved. Since safety issues would be carefully observed during these trial periods, some of the inclination to disallow low income groups could be overcome.

There are multiple options for what might be tapped on site or else trucked in. In some instances, local electrical, water and sewer connections may still be operational. In other instances, parks could cater to people without RVs by bringing in trucks containing portable showers, toilets, kitchen amenities, and even platforms where building components are configured for sturdy yet temporary shelters.

Such possibilities could also improve economic access to cities and regions where housing markets have been restrained in recent decades. Plus, these suggested business arrangements for underutilized properties, might ultimately help alleviate much of the hidden homelessness which now exists.