Can recessions represent opportunity Part I of II ?

October 9th, 2019

Todays post is old but still appropriate with all of todays economic chatter! Do you know what FedEx, Hewlett-Packard, Disney, Hyatt, MTV, and CNN all have in common?

 

Today’s post is our SafeSourcing Archive.

Do you know what FedEx, Hewlett-Packard, Disney, Hyatt, MTV, and CNN all have in common? They were all started during periods of economic recession.
Uncertainty in the business landscape can fuel tremendous opportunity. How many corporations are trying to scale down excess inventory and are willing to sell at drastic discount to do it? How many dislocated and highly skilled professionals are willing to accept historically low salaries to find reliable work? How many consumers have drastically changed their purchasing behaviors?

To the adaptive go the spoils?

That last scenario is the one that frightens retail businesses the most.

After all, who wants to abandon their core business and cash cows? That’s a scary proposition, when traditionally most firms would prefer low risk/low reward stability over higher risk innovative adaptability (Consumers have the same career mindset, as you’ll see below). However, as our highly dynamic economic and technological environment has repetitively proven, no one can afford not to adapt if they want to survive. Some corporations and new startups have discovered that trying to convince consumers to spend the way they used to (and can no longer afford to) is a losing game, and that the real opportunity is to discover and acquire a share of the new ways consumers are spending. For instance, Target has rebranded itself as a discount designer product store. For others though, it may be more prudent to create spin-off discount brands to serve that market, but keep that brand insulated from your premium brand to prevent any negative ass
ociations of discount retail from your primary brand. Opportunity is not exclusive to consumer spending though, it exists also in the new ways consumers are seeking revenue.

Counterintuitive to what most of us might think about recession-era job seekers, is that there has been a shift in emphasis away from the pursuit of higher pay for potential job seekers.

Due to the insecurity the population is feeling however, it should come as no surprise that security is the consistent priority, replacing pay scale as the most sought after characteristic of employment. A 2010 poll by the Associated Press showed 64% of workers under 25 years of age are unhappy with their jobs, and less than half of all Americans are happy with their jobs. What does this mean to employers? There exists opportunity in recruiting talent, and they are looking more for stability than they are looking for large salaries. Of course, savings in production are being pursued just as fervently as savings in acquisition, but everyone can benefit from these savings all along the supply chain.

Please check back tomorrow to read part II of Michaels informative post.

If you’d like more information about SafeSourcing, please contact a SafeSourcing customer services representative.

We look forward to and appreciate your comments.

If you thought this page is useful to your friend, use this form to send.
Friend Email
Enter your message

8 Responses to “Can recessions represent opportunity Part I of II ?”

  1. DreamProxies.com – Best Private Proxies To get Most affordable Prices Actually!

  2. DreamProxies.com assessment – 100 quality along with anonymous private proxies, lowest prices and USA private proxies

  3. Great work! This is the type of info that should be shared around the net. Shame on the search engines for not positioning this post higher! Come on over and visit my web site . Thanks =)

  4. Simply wanna say that this is invaluable, Thanks for taking your time to write this.

  5. Google says:

    Please take a look at the websites we stick to, which includes this 1, as it represents our picks from the web.

  6. You need to take part in a contest for one of the highest quality sites online. I am going to recommend this site!

  7. When I originally commented I seem to have clicked the -Notify me when new comments are added- checkbox and from now on whenever a comment is added I recieve four emails with the exact same comment. There has to be a means you are able to remove me from that service? Appreciate it!

  8. Google says:

    Although internet websites we backlink to beneath are considerably not associated to ours, we really feel they’re really worth a go through, so have a look.

Leave a Reply

You must be logged in to post a comment.