Chad Moutray, who authored the study I linked to the other day on the challenges and opportunities that lie ahead for entrepreneurs, has some good tips for small businesses on weathering these current difficult economic times over at his blog. They come from over 1,000 responses to a question he posted at Linked In.
Here are the top 10 recommendations:
- Cut operating expenses and discretionary spending
- Tightly and diligently manage cash flow
- Improve liquidity, tighten working capital
- Streamline inefficient processes with technology
- Keep your number one focus on existing customers
- Increase marketing and advertising efforts
- Go after markets that are less affected by the downturn
- Diversify and expand product and service offerings
- Retain your best staff and recruit top talents
- Be transparent with employees and keep them motivated
How different would the way to handle this crisis in developed markets vs developing countries.
keep up the good work in this blog. the entries are all superb.
i have to agree on your list. downtrend of business is timely for re-evaluation of strategies. i totally agree with #6. when most people usually cut costs by cutting down marketing and advertising, this may further hurt the business. my website thru the help of Prova proved to be helpful in difficult times since it brings in some new customers. now, who doesn't want that?