Economic hardships aren’t always a bad thing. Some businesses rise from the ashes and pivot their strategies to come out stronger. Some people become their own bosses, taking the leap to start their own companies.
Recessions are not without opportunity. Risks may be higher and advantages fewer, but for the thought leaders and entrepreneurs who put in the hard work, success can still be found.
Miracle Whip Emerges from Great Depression
In the early 1900s, Richard Hellman introduced mayonnaise to the world. But not everyone found their product of the sandwich condiment to be economical.
During the Great Depression, however, people could no longer afford it because of the ingredients used to make them were expensive. Kraft’s sales were slipping.
Determined to succeed, Kraft took a new production approach. They developed an alternative to mayo using new emulsifying technology, creating Miracle Whip. By adapting an trying a new method, they were able to help keep the company alive during historic struggles.
Domino’s Pivots Towards Success Following 2008’s Economic Downturn
A similar thing happened to Domino’s pizza in 2009, when they announced they were making significant changes to their signature recipe. The new pizza was a massive success, driving up both sales and profits of the company.
Netflix used to be a DVD-by-mail service provider in the mid-2000s, but have you ever wondered how they’ve become the streaming powerhouse of the world? During the Great Recession, Netflix defied expectations and found the way to its subscribers’ hearts, attracting 3 million more by the end of 2009. Its stock price rose to 57%, and the rest, as they say, is history.
The first-generation iPod hit the shelves in October 2001. Even though it cost $399, 600,000 people bought one by the end of 2002, and 2 million a year later. While it wasn’t manufactured because of the recession, it provided a cheaper alternative to stereos and going to concert.
With the Recession Comes Reinvention
Lockdowns, canceled events, panic-buying—these are just several setbacks caused by the coronavirus. Apart from the health risks posed by the pandemic, however, a global recession is in the midst.
It’s a domino effect—a pandemic causes lockdowns, which affects businesses in terms of laying off employees and losing customers.
This decade is comparable to the Roaring Twenties, where big businesses will be disrupted and some will eventually collapse, which will create opportunities for small businesses.
Do you want fool-proof solutions to surviving a recession?
- Find opportunities in the root of the recession and company disruptions.
- Present an alternative.
- Get profitable quickly.
- Grow with in-house cash.
You have to remember, however, that these are achievable if you have a sound mind and if you’re bringing you A-game even if you’re at home.
Leading Your Company Through Dark Times
Your leadership will go through trial by fire as you face daily challenges in the system during quarantine.
Aptly called the “Black Swan of 2020,” businesses will only survive if they act quickly and decisively.
You might be asking, “How is that possible when there’s so much uncertainty revolving around this global threat?”
Well, right now, it’s only the strongest who will prevail, but those most adaptable to change.
Here are things you can do as a leader to navigate through this crisis and emerge stronger than the competition:
- Communicate brutal facts to your team while having confidence that you will get through it together.
- Allow your people to voice their fears as the crisis persists.
- Get ready for chaos.
- Envision the future.
At SlideGenius, we want to help you get back up on your feet. Other companies may be on pause right now, but not us. We’re still here to lend a hand to those who want to get their message out there.
Contact us today and let’s talk about what we can do to help.