How To Manage Hard Times In Business ?
Business gets into hard time quite often. The curve of business goes up and comes down. This is well described by Spencer Johnson in his book “Peaks and Valleys”. Here peaks are referred as good times and valleys are described as hard times. These phases are bound to come. No one can avoid them. It is important too know how to handle them.
I am mentioning here 4 points which can help you manage hard times:
1 Manage cash flow: In business hard time is characterized by negative cash flow. So, it is important for a business to regulate the cash flow properly. Under all circumstances cash outflow should be minimized as much as possible.
2 Pivoting: During hard times one product line might not work. Hence the business needs to be pivoted to some other type of business. This is at times turn as the real savior. But before pivoting one must do proper study and planning. Checking market demand is another key for that.
3 Flexibility: One must make his or her business enough flexible so that the work can go on during hard times. Flexibility can be in terms of working, working style, work hours etc.
4 Modified product line: During hard time, protect line should be modified as per the demand of the market or the choice of the customer. This will help to keep the product afloat during that period.
Hard times are indispensable. So do not get worried, but one should have the mind set to come out with such hard times.
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