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the 'D.O.M.E.' - is a Free Open Market Economic Zone!

When demand for sales in domestic markets drops the usual method to generate activity is to discount.

Discounting became more prominent in local commerce in the later half of the last century and it's not going away any time soon, in fact the public have grown up expecting various sales events to happen each year.

The effect of what discounting does to the purse strings of government revenue greatly influences policies via budgets, which can be compounded when there's currency and global commodity price fluctuation.

Difficulty that governments have in modern economies is that they don't hold the whip handle but are more at the 'end of a whip' with their population hanging on behind.

The majority of countries use economic theories and policies based on models that were pre-technology when the world was manually operated in all areas of monetary control, the fact is the world has moved on from the chalk board share markets and the spread ( control ) of money.

technology and private enterprises control global commodity prices, not governments or true Supply and Demand!

local manufacturing and retail sales can be controlled and effected by a single global commodity price!

the flow of money is controlled by banks still using a feudal system just "as land was used in exchange for service or Labor"


FOMEZ changes that dilemma by countering the Supply and Demand pricing with Fractional Economics, an economic model designed to have a realistic and positive impact on all the contributors along the local Supply Chains.

In all economic theories and models, the use of Supply and Demand is central to all commerce, all models and thinking use or see demand as the force to create sufficient productivity to find the equilibrium between supply and demand.

The tools used to get that outcome is always involving Supply and the price, it can be manipulated by using subsidies to maintain productivity or the supply can be discounted, even use currency valuations to gain advantages in trade, the revaluing of currencies are often a last resort when trying to re balance the disadvantages in either exporting or importing trade but that often only works to favor either importers or manufacturers and exporters, rarely both.

All have impacts, subsidies are simply a way of 'kicking the can down the road' until there is a leveling out with demand, even though it's only a 'take from Peter to pay Paul' cycle, or the other of a seller directly discounting their supply.

The use of subsidies drawn from the tax payer revenue or the future revenue, even changing tax codes, only puts off what can't be solved on the day.


 

  the 'D.O.M.E.'

  FOMEZ

  FOMEZ - Localization

  Productivity First

  RingLink Tech

  e2eCommerce

  Cloud Productivity

  UDC - Neutral Currency

  Global Currency Flow

  Local - Investment Magnet

  Pay It Forward

  Digitizing Cash

  Booms and Busts

  Open Market Revenue

  Fractional Economics

  Supply Chain

  Economies of Scale

  Exchange Platform

  Global Locations

  Distribution of Wealth

  Labor MarketPlace

  Affordable Living

  Job Creation
   

Where does the discounted value between the full price and the new discounted price go to and what effect does it have on an economy?

The obvious answer is that it just becomes a loss and disappears, but what if through technology that loss could be retained while still creating the demand and be on the right side of achieving equilibrium?


As a basic example of how FOMEZ operates  -  using any country's retail sales revenue, let's assume it to be $20 billion in any month,

walk down any city shopping strip in any city and see the amount of discounting, even a qwick estimate could assume it to be an average 30% discounting ( ranging from 10% to 70% ).

That's around $28 billion in 'total sales revenue' before any ( 30% ) discounting, so basically there's a 'lost sales revenue' of around $8 billion.

Apart from the $8 billion of sales revenue that's from the profit of any sale, that lost sales revenue of $8 billion in many countries also includes an approximate 10% GST / VAT revenue of around $800,000,000 for this average one month, which would not be gained by the government treasury.

Taking a broad view of what FOMEZ does by selling high ( using Cloud Commerce ) is it 'gains' the lost sales revenue of $8 billion for the business sellers, including the lost GST / VAT revenue of $800,000,000,

if that $800,000,000 is multiplied as the average across 12 months there's a 'gained' GST / VAT revenue of $9.6 billion ( this estimate can almost be doubled to $20 billion when adding the peaks and main end of year sales ).

The Budgets of any country could do more with the extra tax revenue than without.


   
   

The above example is a simplified view of the proportion of any economy's revenue that disappears by making the sellers in the economy the 'sacrificial lambs' that lose profits by needing to discount so the remaining players in the economy can survive.

The example shows in the broader view what results there could be when 'selling at full list prices', coupled with the incentive of 'low buying prices'

the significance is that the activity within the FOMEZ is contributing fully to the national revenues and not remaining part of the problem, while still continuing to generate a more robust and sustainable local economy, in a free market,

it's fair to assume that the local community within a FOMEZ would be sitting in an autonomous economy with greater activity and growth due to the continual incentive of 'high selling prices and low buying prices',

the majority of countries have sales tax systems in place of some type but those countries that don't or have inefficient systems, still benefit from the velocity of monies flowing around their economies that can spill over into the lives of the communities.

The basis of Fractional Economics is it counters the Fractional Banking model that multiplies credit and filters it down into local communities to foster growth  -  with any credit comes debt, a debt that's continually shifted to the private sector.

Cloud Commerce's dynamics in a FOMEZ can reduce debt and hold the cost of living stable, while raising affordability in a Scalable Global Economy.

For decades, even centuries, the talk of a 'free market' has often had varying degrees of what it really meant, in more recent times the free market has been focused around allowing the Stock Markets / Commodities Markets, to provide prices that are based around 'free markets', we all know now that's not true, they're not true in allowing true demand steer the markets  -  that control needs to be pushed down further in the 'chain' to make it democratic on a global level.


   
   

In the long term, regardless of any global 'recovery' there'll still be an overhanging debt passed down to the next generations, this debt has been accumulating since the 1980 when the credit system 'changed' and started loading the private sector with the debt.

- with private sector debt increasing and an aging population, it means less productivity, and an unknown future for many.

The issue confronting the next generations expected to carry the largest aging population in history is that there will be less productive workers to do so.

That shortfall in working numbers to carry the weight has got a silver lining when it's scaled globally  -  the next generations in most of the developing countries have virtually the opposite demographics to the developed countries, with greater numbers in the next young working age, who just happen to be the tech savvy generation.

FOMEZs use technology to tap into what is the largest population of manpower in the world that has the thirst to become an entrepreneurial engine to drive the developed world for the next decades,

This unique contrast of different demographics between developing and developed countries can now be harnessed by 'outsourcing the selling' of 'local inventory' using economies of scale to reach into the developing countries,

in doing so helps solve the huge issue of poverty confronting developing countries by opening up the same FOMEZ environments to generate local manufacturing.

the developing world has the demographic numbers to take on the challenge and fill the gap opening up by the ageing population in the developed countries, which has all but exhausted its capacity to produce efficiently at the local level!

FOMEZ brings to the local level a sustainable growth by keeping demand for supply high through genuine productivity!



   
         
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