What is the best economy for an entrepreneurial company: a robust, stable economy or an uncertain, even weak economy?
Since entrepreneurs typically build their businesses based on innovations which rock the status quo, it is often hardest to introduce those changes in strong economic times. However, when customers are focused to find new ways to protect their top and bottom line, they tend to be more receptive to innovations and new solutions in unstable, or even weak economies.
Surely a robust economic environment is like a tide that raises all boats. But that is exactly why it is not the best of all times for an entrepreneurial business builder. In good times, customer and vendors have no need to try new things. Their profits are secure and doing what was done yesterday is always more comfortable.
One way to get customers out of their confront zone is an unstable economy. At times like that, they must search out new solutions.
The recent “green revolution” is a classic example. As long as oil was below $50 a barrel it was hard for any innovative entrepreneurial company with energy efficiency features to gain any traction. However, as oil soars above $70, and oil wars loom, even the most staid companies have become receptive to new products with energy efficiency. “Green” has even become the new Siren call for the venture capital community.
Sure you can grow in a good economy, like all other companies, but if you are an innovating entrepreneur, you have the opportunity to thrive in economies where others can’t even survive.
Stefania Aulicino is founder president of CapitalLInkUSA. For 19 years Stefania has helped business builders uncover the right capital for their optimum growth strategy so you get cash and keep control to build the business you really want. www.CapitalLinkUSA.com
