Like most things in capitalism the credit crunch is not particularly real, it is a matter of perception as are the prices and values assigned to goods which are based on a notional value rather than an estimate of the costs involved in producing the goods. Regrettably, like other perceptions in the capitalist system, the credit crunch does have some very real effects on people and wealth.
Workology have requested some tips on surviving said crunch so here goes with Mik’s selection.
Spread the risk: Look at your customer base and ask whether they represent a single industry or socio economic group, if they do you better hope that they do well because you are joined at the hip with your customers. In previous business incarnations I have noted the value of having a significant percentage of older customers, people who are less affected by variations in property prices and mortgage rates, these are also people whose income is assured, if modest. If your business is essentially business-to-business you will want to find businesses that are selling to this older age group and try to work with them. Damart and Saga aren’t the only ones in this group but both are very successful.
Identify the groups that are making headway and align your business with them. For instance charities and social housing providers can have significant sums available, even in a downturn. In fact such social businesses can sometimes benefit from an injection of cash from governments keen to show they want to help.
Write a popular bestseller. Easier said than done… now for the hard bit.
Well one and two should be do-able.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment