As the 2009 bicycles roll out, the frenzy of motorists learning to avoid paying inflated gas-prices riding a bike instead of driving, has turned towards simple money-saving necessity, despite the “market-driven stimulus” price of gas depreciating. Interestingly, as a result of the American economy, mostly associated with extended loan debts and oil wars, the rest of the world is hinged on what Obama will decide for “our” best interest. That means all of us, cyclists and non-Americans alike.

We are not exempt from these circumstances, anymore (maybe never were – but as someone whose never driven – it seems as though I’ve lived on the fringe). Each daily grind from A to B, crosses paths with inspired new cyclists, whose personal lives are changing as a result. Despite the overall tragedy associated with our economy, the Bay Area is responding very healthfully – a recession with the massive depression. Likewise, bicycle manufacturers are selecting component distributers that are sensitive to this situation – and as the mushroom cloud of the chaos in American economy spreads East, the value of currencies worldwide is depreciating rapidly.

The Bicycle Industry stands to provide respite for consumers of all countries in jeopardy, particularly at the discretion of the empowered China market (which makes 90% of bicycle components). As the value of the Original Equipment margin decreases, so shall quality expectation by the new user groups.

2009 appears to be the segue, where quality and affordability cross paths. My prediction is that entry level components with less than everyday utility will become obsolete, or be restricted to Gucci fashion bikes. Utility will demand value leveraged over the dollar, and markets for competition will be impacted by phasing out selection.