Recession? I think not.

Are there really solutions?

It is apparently visible from all corners of the earth that this nation is going through a recession. You hear it everywhere, “I couldn’t possibly, there is a recession going on”, “Don’t you know, we are going through a recession”, “Right. Like I could afford that during this recession.”

Now, I am not going to get into the politics involved with a recession, or even the economics of it. All I care about it is the view that we all take on it. I’ve been asked a lot recently, “What is the solution to keeping a business afloat in this economy?”

Well there is a solution, but it might shock you. The solution is so obvious, that you might just laugh it off and forget you ever heard it.

THE SOLUTIONS TO SURVIVING IN A CRASHED ECONOMY ARE, IN FACT, THE SAME SOLUTIONS WHICH MAKE A BUSINESS GROW IN A BLOSSOMING ECONOMY.

That may seem like a pretty bold statement, but here is the logic:

Let’s say that the economy was a machine that produced hot air. Bear with me, as this analogy is quite crude. Now lets take two businesses. One will be a brand new business, with very little structural integrity, and very little experience or proper management. This business, or business A as we’ll call it, will be represented by a hot air balloon. Now business B, is a business that has been built and structured using policies, workable and proven management systems, and with employees who are experts in what they do. This business will be represented by a building, which is being built from the ground up, one floor at a time.

The economy comes along and starts producing what some would call an economic bubble. For our purposes we’ll say that it starts shooting out some hot air. What happens to our businesses? Well the flashy hot air balloon booms! Filling up with the momentum of the economy, and rising faster than management can be properly implemented. It sores above Business B, which is still growing very rapidly all things considered. Business A, when compared to all previous accounts, is now huge, BUT it is still not built to withstand time. It is still hollow inside, which is where it matters the most.

Now lets say the economy crashes, or stops pushing out that hot air. Maybe the economy gets so bad it starts to create a little bit of a vacuum. What happens? Business A crashes quickly. It had no structure to hold it up aside from the hot air of the economy. Business B, however, has been built one floor at a time from the ground up, with all the safety precautions and necessary steps to stay stable and growing in this economy. Business B stands the test of time.

Here at Measurable Solutions, I’ve seen business owners who are actually doubling and tripling their business in 2010 and 2011. I see people reaching levels of affluence they may have never even considered possible previously, because they, like Business B, built their company with workable management, and training with integrity and morals.

So do I think the economy is ever a valid excuse for a business to go bottom up? Aside from day traders, and Wall Street cats, not a chance. From my line of sight it tends to seem more like an executive makes his own fate in this business world. By making good or bad choices when they matter the most, he is the deciding factor in whether or not he makes it.

Don’t forget to check out the question of the day below. You can leave your answer as a comment below or email your response to forrest@measurable-solutions.com

-----------------------------------------------------------------

QUESTION OF THE DAY: What is your view on the economy and the effects it has on your business?

EMAIL REPLY TO QUESTION OF THE DAY

Applicable Links: Website - Blog - Business Blog - Email