Everywhere you turn the talk is on how poor the economy is doing. Unemployment is up, oil is ridiculous, the housing market is in the tank, yada, yada, yada...
So, what does this mean for business owners? Is it time to cut back on expenses? If so, where to cut and how much? These are valid questions. The answers may surprise you.
One of our Account Executives brought this article in that makes a very nice point. It's from Business Week and you can read the full article here:
http://www.businessweek.com/smallbiz/content/jul2008/sb20080711_023930.htm
Following is a summary of how to not only survive in a down economy, but actually thrive...
1) Be frugal, but don't panic. If you are cost cutting, make sure you are trimming fat, not muscle.
2) Marketing is muscle, not fat. Just like buying low and selling high is a smart investment strategy a down economy is the perfect time to capture market share by maintaining, or even increasing, your marketing budget.
3) Don't lose focus. Resist the urge to take on any and all customers just because times are slower than normal. There's a reason you have a target market...stick to your guns.
4) Don't discount your prices. Although it's tempting you are only setting yourself up for failure down the road. Price cuts trains your customers to never pay full price for your goods or services.
5) Don't neglect the elephant in the room. The fact that we are living in a troubled economy is no secret to anyone...least of all your employees. Make sure they know that you are ready for the upcoming times and that you have a plan for dealing with them.
So, in summary, take these five tips into account and make sure you are taking the necessary steps to ensure your business's success...regardless of the economic situation.
Posts
-
