We believe that fear is one of the greatest impediments to individual and organizational success: fear of failure, fear of criticism, fear of making a mistake, fear of not being liked or appreciated, fear of killing the company’s cash cow. Fear – it destroys you and your company. As if individualized fear were not bad enough, now we have the generalized fear of an economy that started a meltdown in August 2007. Put these two fears together and we become paralyzed and artificially accelerate the potential for failure.
Like the CEO of a New England-based manufacturing company who will not invest in sales, sales support and marketing because of the poor economy. His company has no debt, is profitable, and has positive cash flow and a strong cash reserve. He has a distinct market opportunity because the products he sells have a slight market advantage, and his competitors are in a less financially secure position. Because of the economy he is paralyzed by fear – fear that is unfounded based on the fundamentals of his company and the market opportunity. In recent months sales have started to fall off and he is thinking about cutting costs.
Sure the economy can be adversely affecting your business. But to generalize this in the absence of facts relating to your business and your market is insanity.
What should you do?
- Be aware that generalized fear may be contributing to your business performance
- Understand your business fundamentals
- Understand your market and the potential opportunities that exist
- Understand your competition and how they are reacting in the market
- Focus on what’s real as it relates to your business
Reacting to a generalized fear is exactly the wrong reaction to have in this market. Understand your situation. There are opportunities in this economy and the more your competition reacts with generalized fear the stronger your competitive advantage – if you act.
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