A widening economic divide is impacting US businesses. Companies that serve lower-income consumers are facing declining sales and profits, while affluent households continue to sustain overall spending. Lower-income consumers are delaying purchases, seeking discounts and struggling with affordability as inflation remains elevated. Some companies are adapting products for both ends of the market, while firms reliant solely on budget customers are experiencing financial strain and workforce reductions.

The rise of AI is transforming marketing, with earned media emerging as the primary driver of visibility in AI-powered discovery, writes Edelman's Brent Nelsen. Analysis indicates that 90% of content in AI summaries is from earned sources such as reviews, blogs and media coverage. Nelsen advises marketers to audit their earned equity in AI, build cultural resonance through creativity, redesign key performance indicators around inclusion, optimize metadata and treat earned media as a core strategy.

Small businesses can increase sales during the holiday season by leveraging digital tools and strategies, marketing experts say. Even businesses without ecommerce capabilities need a robust digital strategy to attract and retain customers. Effective online engagement, such as updating websites with seasonal themes, cross-collaborating with other local businesses and integrating "add to calendar" buttons on websites and emails, can help draw in holiday shoppers and turn them into repeat customers.

Markets anticipate another interest-rate cut this week, but uncertainty remains about the future path of monetary policy. Progress on inflation has leveled off, and the latest data "keeps the Fed in an easing bias in October," according to Wells Fargo's Nicole Cervi. "But the underlying picture hasn't really changed on inflation."

A precise situation assessment is the cornerstone of effective strategy development, according to Rebecca Homkes, an advisor to CEOs. Homkes introduces a structured framework built around six critical questions to reinvigorate strategic planning. Rather than defaulting to generic priorities and rapid consensus, Homkes urges leaders to methodically address six sequential questions, starting with assessing the current situation and its likely evolution and defining success.

Small-business owners are advised to review their insurance coverage before the end of the year to ensure it matches their current operations. JoAnne Hammer of Insurance Canopy suggests six steps: match coverage to business changes, review limits and deductibles, check for specialty coverage gaps, revisit contracts, document everything and schedule an annual review.

Researchers have found that edible mushrooms like shiitake can function as organic memory chips, potentially replacing traditional silicon-based components. When connected to circuits, mushrooms store and process information, mimicking neural activity with low power consumption. "Being able to develop microchips that mimic actual neural activity means you don't need a lot of power for standby or when the machine isn't being used," said John LaRocco, lead study author.