Be Innovative Before a Recession

If you’ve gone online, seen a newspaper or tuned in to the news at all in the last few days you’ve probably been inundated with fears of a forthcoming recession. If/when a recession would hit the US economy, there is never time to waste when seeking to innovate your company.

Which may make you ask, “Nancy, if a recession is coming why would I put more money into my business, shouldn’t I be buckling down?”

Well, yes and no.

You want to prioritize your family and home life, make sure you’ll be okay if the economy takes a dramatic downturn, but you also have to remember that your business needs shoring up as well. When you’re trying to stay afloat you also have to stay competitive with other businesses in your industry.

Customers will be tightening their belts and making cuts, don’t you want to ensure your business isn’t one of those cuts?

Take this advice from former Burberry CEO Angela Ahrendts, as shared by Grant Thornton: “I was taught to never waste a good recession.”

Later in their piece on innovating through a recession, Katrina Teague Managing Director of Innovation for Grant Thornton wrote:

Her advice is on point today as businesses hunker down and get prepared for an anticipated economic downturn. While no one can predict with complete accuracy when or if a recession will hit, it’s clear the end is near for our near-decade-long burst of economic growth. A recent survey conducted by Duke University concluded that a recession in 2019 was looking “likely.” Nearly half of the executives surveyed believe that the United States will enter a recession by the end of 2019, and 82% expect that a recession will happen by the end of 2020.

Teague’s article on recession innovation is from the end of January. Here we are in August after a tumultuous stock market week discussing the possibilities once again.

If your competitors aren’t stepping up their tech game or considering it right now, you should be. Whether that means setting up a mobile app, invigorating your website or paying close attention to social media, you need to be that innovator in your industry. The economy won’t sit around and wait for businesses to catch up to the tech while it struggles to stay financially strong, so you can’t either.

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