There’s a quote that says, “you really see who’s making when the Tide runs out”
When the pandemic happened, there were rumors that Grant Cardone filed bankruptcy. I’m not sure how true that was – but the point is there were people who got wiped out because of this pandemic.
Now, this isn’t the first pandemic and won’t be the last – so how should you interpret the fact that many businesses failed during the pandemic –
Here are some things that business failures because of a consequential event mean –
1.They weren’t really making it –
Most businesses prior to the pandemic weren’t really making it. They didn’t have profitability, cash, or a reliable stream of customers so two weeks of no sales just revealed what was already the reality – they weren’t making it.
2. Complacency (being rich and fat) leaves a business vulnerable to sudden change –
It’s not fun to starve and humans are remarkable at learning how to survive. We’ve weathered pandemic, world wars, and environmental change and STILL KICKING! The issues start happening when WE DON”T HAVE TO FIGHT TO SURVIVE. The companies that are making it during this time had more than one source of revenue. The companies that only had one source of revenue… are not making it. So the question is why did they only have one source of revenue?
Likely because they were making money… they were complacent. And this complacency in some cases destroyed their business.
3. There will be winners
In life there will be winners and there will be losers. You might call this Darwinism – or fate. Whatever you call it – the truth is that those inherent weaknesses that were already there. If you are a business that is not coming back because of this – well, those weaknesses were already there. It’s not like they came from out of nowhere. The only difference is now you have to deal with them. And you got to deal with them fast…
Here are some solutions to combat being rich and fat (complacent) –
There is safety in counsel – fresh eyes. It’s impossible to see your own typos.
Scheduled innovation. I have a list of questions and calendar events where I will participate in innovation and answering tough questions about my business.
Accurate thinking. Your business will not be the same in 10 years if you make it that long. That’s a fact – So, what are you doing now to address that? HINT: See the two prior solutions…
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