What is the Connection?

         Why business and natural disasters?  What do these things have in common?  Generally, they have nothing in common; however, when one happens the other can seriously affect the other.
          I am not going to examine the effects of business on the environment, and global warming, and effects of global warming on the environment.  I am not a meteorologist or environmentalist.  Instead, I want to discuss the opposite: How natural disasters effect business.
         This topic came to me when I received an advertisement from a local car dealership for a huge sale of vehicles with hail damage.   A severe thunderstorm hit the Dayton area on May 26, 2011.  This storm produced golf ball to softball size hail, damaging winds, and a few small tornadoes.  Though thunderstorms are common in spring and summer, this particular storm reaped havoc on the area.  Damage was widespread.
Though frightening and costly to the individuals effected, my attention is turned to the effects on a different level.
         This storm created a huge business boom for this area.  In a struggling economy, this one severe thunderstorm created work for many throughout the area.  In the days following the storm, insurance companies were conducting drive through claims services, roofers and general contractors were out knocking on doors, and body shops were filling up by the minute.  Dayton Power and Light employees were working from the minute it hit through the next day restoring power outages to thousands of customers.  City workers and private tree companies were busy for weeks picking up debris and removing downed limbs.  This is just a small list of businesses directly affected.
          Behind the scenes, hundreds of people were taking phone calls for businesses large and small to schedule appointments for repairs, insurance claims, and even advertising for businesses seeking to benefit from the need for services this storm created.  Businesses who create signs, door hangers, and mailers have seen an increase as well.  I have received at least twenty separate advertisements related to the storm in the past month.  It takes people in business to make all this happen.
          Adversely, the businesses, such as the car dealerships, did suffer a loss from this storm, but just like the advertisement I discussed before, they are making the best of it and throwing huge closeout sales to sell the damaged merchandise.  This creates interest and may even create sales for people willing to buy at such a discounted price, who may not have been prior to the storm.  But, with the costs of other repairs to homes and property, it is unlikely the damaged cars will fly off the lot at the rate of other products and services.
          Despite the frustration and damage that such a natural disaster creates for the individual, it can have the opposite effect when it comes to business.  This local boom may be short lived, but no less a huge benefit to businesses struggling throughout the Dayton area.  As long as a tornado doesn't wipe out the office or shop, some businesses will always benefit from the damage created through mother nature's spring surprises. 

For more information on this severe thunderstorm visit the Dayton Daily News at: http://www.daytondailynews.com/news/dayton-news/thousands-of-claims-filed-in-storm-damage-1170297.html

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