A Recession is the worst period of time for anyone.
For individuals, it is characterised by job losses, reset of personal loans and uncontrollable rise in prices of goods and services. It is a period when people develop a very negative view of the present and the future.
Companies are the worst hit. Apart from massive downsizing, corporations are also confronted with massive walk outs. Top talents and leaders either throw in the towel or find something more ‘interesting’ to do.
The impact of recessions on individuals and organisations is more than job losses, dismal revenue figures and weakened demand; recessions have more devastating effect on the psyche of people and organisations even after it is over
Nigeria’s recession has been projected to slow down or disappear towards the middle of next year. No doubt about it, this is an expansive period of time that would further cause more havoc for people and businesses across Nigeria.
However, the best time to try new things and see what works is during recessions. Companies who have invested in research and development can use the opportunity to develop and launch new products. This is because, when the market is growing is not the time to experiment with new ideas. It is a time to run after sales and declare big revenue for the board and shareholders.A growing market is an opportunity to cash in and get sizable market share.
But a recession is the best time to test whether a company, product or service will stand any chance during growth period. This is because customers have also been discovered by research to look for new answers, products and services that offer new benefits, superior advantage with right pricing or value proposition.
Some of the biggest brands today were created/started during some of the worst recessions in the world. The likes of Microsoft, CNN, GE and Disney started when the United States was in some of the most vicious recessions in the history of the world.
The advantage of starting off during recession is that companies can take decisions faster but not in haste to catch up with a competitor in sales figures characterised with period of booms. Also, the negative aura in the economy allows companies who are positive in their corporate attitude to create new products and services with the lowest costs and then benefit once the economy picks up again.
Historic data and recent research have proven that companies who do the same thing during recessions often lose their positions and get into much more troubles even after the recession is long gone.
In case you are still pussyfooting on some of your ideas and products in the ‘cooler’, now is the time to try it out.
Have a wonderful week!