After four years distributing WomenandBiz.com with the same layout, we decided it was time for a change. We hope you enjoy the changes, and the Business Change issue. You are now able to bookmark articles, to write comments, to easily locate articles written by your favorite guest writers and to search for the articles you need.

Our guest writers discuss how internal (finance, management, customer service, real estate, and several others) and external changes (economy, politics, competition, environment, etc) affect your business.

Many changes you cannot control, but you can control how you and your business react to them, or how you proactively act in order to thrive.

This issue features Melanie M. McEvoy, founder and president of McEvoy & Associates, whose business helps not-for-profits realize their missions; and Fany Balabram, co-founder of Fany Bombons Ltd., who is celebrating 25 years in business due to her ability to understand the changes and respond to them accordingly.

If you need help with your business, feel free to contact us.

All the best changing your business,

Elisa Balabram, Editor

To keep myself entertained I learned to navigate the Jersey highways to get to every mall store that carried fashion accessories. I would evaluate each item I saw, asking myself “What is the right price for this product, are the materials and colors as attractive as possible?” and redesign it in my head to make it more appealing. This “back seat” merchandising hobby continued after I gave birth to my daughter Aviya, who enjoyed this activity in her stroller.

One day at the mall I picked up a copy of The Bergen Record and noticed an ad in the classified section that intrigued me, “Looking for people to bring new and exciting products to the market.” In my academic circles “Business” was a dirty word, so I didn’t follow up on that ad. However, from that day forward and still today, I believe that statement is my mission. The best I can be for myself and others is to make new, exciting, useful and attractive products available to people for enjoyment in their everyday lives.

In 1976 when we moved to Manhattan I decided to give up teaching and go for it! I started representing designers of costume jewelry and hair accessories, taking their samples to stores that might like them. My first customers were Henri Bendel and Bloomingdales but I was clueless when they asked me what my “Terms” were. I went back to school at night and took a lot of business courses while also doing training programs with American Women’s Economic Development; and met other new women business owners to commiserate with.

Accessory Resource Gallery grew in the eighties and I opened a showroom, hired a staff, added scarf, hat, belt lines and other goodies to the product mix. People could not buy enough accessories in the eighties. Then in 1990 the recession finally hit the industry. Retailers were going out of business in droves. To keep our designers’ spirits up in those bad times we recommended that they add unique and amusing items to their product lines. We conducted “brainstorming” sessions and came up with a jeweled watergun necklace for one of the lines. The trade publications loved it and we started to become known for unusual items.

Then in 1991 a gal from Dallas came to New York looking for a salesrepresentative for her new patented hair accessory, Topsy Tail, that turned a ponytail inside out to make a beautiful hairstyle. We went crazy for this unique little invention and predicted that the rest of the world would agree. In a very short time we sold millions of dollars of Topsy Tail to retailers.

Word spread about our “inventions marketing” and inventions were turning up at our doorstep. Soon we were handling such wonderfully original products as Hairdini, Earz Earpockets, Polaroller rolling icepack, and Franties fragranced panties. Womens Wear Daily named us the “Guru of Novelty Marketing.” We were finding that marketing inventions was taking up much of our time and it was a different process from marketing accessories. We created a new division of the company called “Accessory Brainstorms” to handle patented inventions adding beauty, comfort and lifestyle products to our categories. Recently, Accessories Magazine honored us as “Most Inventive Company.”

During the company’s invention expansion I had to go back to school yet again to learn about patents and legalities, out of responsibility to the many inventors who look to us for advice. Each day I think about the gift I have been given to be able to fulfill upon my mission. Lucky for me that New Jersey high schools didn’t have drama departments.

Technology is a necessity for many people in today’s business world. Without technology we could not manage our projects, keep track of customer orders or manage our data. You use technology to run your business but have you thought about taking a step in another direction? Looking at technology as a way to market your business? While you’ve been managing your business, others have been using technology to:

* Communicate with customers to increase loyalty
* Follow the competition
* Stay innovative
* Research new marketing initiatives
* Gain PR and exposure

Communicate with customers
I am not talking about email, I am talking about the use of new media tools such as blogs. Blogging can be a great way to communicate with your customers by giving them a place to contribute feedback and ideas. Communication does not always have to be written, it can also be visual. Using video to talk to customers or review customer issues can be a great way to build a relationship online.

Follow the competition
Small businesses can use the web to keep an eye on the competition by creating Google Alerts that will update you when your competitors release new products or services. Google Alerts will also update you whenever anyone mentions your competition on a website or on a blog. I watch the competition, but I also monitor what people say about our company.

Stay innovative
What’s the next big idea? You can ask Donny Deutsch or you can start by looking at marketing blogs, listening to podcasts and watching video-logs (vlogs). Mainstream media doesn’t always have their finger on the pulse, and looking outside the traditional media box can be a way for you to stay innovative.

Research new marketing initiatives
Looking for qualified research from a real audience of consumers? Why not turn to social networks like LinkedIn or Facebook? Real people, real points of view are right at your finger tips. Use your network to ask them for advice about new marketing ideas. Create your own group on your social platform to talk to specific issues you want to help each other with. On the Internet people are more available and open to helping with quick questions and ideas.

Gain PR and exposure
Staying in front of your customer is important and the web can help you succeed. What is PR? Public relations for some people is being interviewed by the Wall Street Journal or being on Oprah. What I am doing right now is public relations. Writing for online publications that appeal to my audience. Web 2.0 is about content and reporters, bloggers and podcasters are all looking for a new story to tell. Reach out to the people who are using the technology and see if you can get a little web ink.

Social bookmarking, online awards, search engine optimization; there are so many new areas that allow us to be connected to our market and to our customers through technology. Through the use of social media tools you can utilize all the items we discussed and more; all you need to do is to change the way you see technology. Technology is a tool and it can be used to run your day-to-day business; but it can also be used to grow your business, market your business and catapult you into the next stage you have been trying to reach. Stop and think about how to change your approach toward technology to better position your business for success.

I stopped getting angry when I realized there was something I could do about it. . .and when I started to look at each experience not as a problem, but as a learning opportunity. After all, I spend money to attend continuing education seminars, personal growth workshops and cultural lectures – why not this? So, if I decide to decrease a bill by, say, $100, rather than bemoan the reduction, I consider that $100 as a deposit into my “Education Fund”, held in my account at the School of Hard Knocks. I just paid $100 to learn a very valuable lesson. What is that lesson? And how can I get the most out of it?

First, take a good, hard look at what went awry in the relationship. Make – not find – the time to go through this exercise, as it’s a valuable part of your business planning and operational growth. Be honest with yourself. It’s tempting to put all of the blame on the wearisome client, but that may not be fair. As the old Zen saying goes, “there is your truth; there is my truth; and there is The Truth.” What was the client unhappy about? What did he or she actually say to you? What do you think is the underlying reason? Write down all of the reasons that come to mind. Was it that:

• The price was more than the client expected?
• The project became far more involved than the client expected?
• The client didn’t get the results she wanted?
• You didn’t have the expertise needed for the assignment?
• There was a snag in communication, such as when you’re dealing with more than one representative of a client?
• The client was not clear about the payment terms (e.g., if you are working on an hourly rate)?
• The client kept changing his mind or was not definite about what he wanted?

All of these (and more!) can be reasons that a customer turns sour, complains about a bill, and demands a reduction – or refuses to pay and you take a reduction so as to not lose the entire fee.

But you were counting on your entire fee, weren’t you? After all, the landlord isn’t necessarily willing to take a 25% reduction in the rent just because you took one from a client, right? Nor are the cell phone carrier, electric company, office supply store or other vendors you may hire. So what can you learn from this little deposit into the Education Fund to help you get closer to keeping 100% of your fee – every time?

Dianne, a copywriter, had a similarly unpleasant experience of making a major deposit into her Education Fund. She had been hired to develop the text for Andy’s complicated e-commerce website. Andy had run into lots of problems trying to do it himself, not the least of which was that the site was hardly generating any sales. . .and Andy was running out of money. Dianne gave Andy a fee estimate, but told Andy that she charged based on her hourly rates. Andy agreed. But Andy likes to talk, and he likes to express himself at great length in emails. He also likes to change his mind. And he doesn’t like to remember any of this. So when he got Dianne’s bill – far more than he expected – he choked. And expressed himself, once again at great length, at how Dianne’s services were clearly inferior because they haven’t resulted in more sales, that she totally lacked a grasp of his product and industry and that if she’s so smart she should have the sense to call in someone with more expertise. Not wanting the unpleasantness of having to fight the client in court, Dianne took the hit.

Smarting from that fee-reduction exercise, Dianne developed her own “lesson plan” to avoid having this happen again. Her lesson plan helped her change how she worked with clients in a number of ways, including:

• Make clear whether I can guarantee a particular result (e.g., more sales), and if not, say so in my agreement.
• Better screen the clients I take on for warning signs of needing a particular result from my services.
• Make sure to ask, “What kind of budget have you set aside for this project?” to esnure that the client really does have enough money to pay me.
• Be more detailed in communicating how I estimate my fees (e.g., this project includes 3 hours of telephone or in-person consultation time and 7 hours of drafting time).
• Break the project down into smaller milestones and ask for payment in stages.
• Better estimate how much time it should take me to finish the project (or a milestone of the project) and alert the client if we’re off target or exceeding estimates.
• Look into my timekeeping software program to see if computer alerts can be set up (so that I don’t go over the time).

Those are just a few of the items Dianne felt could be helpful to her. Your “lesson plan” may differ. And, there may be some lessons you need to learn over and over again (I certainly have!). That’s okay, too. Similar lessons come disguised in different ways and have different nuances to them. Just make sure that the amount you pay into your Education Fund doesn’t become one of your largest expenses!

<<(c) 2004-2007 Wise Counsel Press LLC. Nina L. Kaufman, Esq. is an award-winning business attorney, author, and speaker. Through both her NYC-based law practice, AskTheBusinessLawyer.com, and her legal information company, WiseCounsel Press LLC (www.WiseCounselPress.com), she has spent over a decade successfully navigating hundreds of entrepreneurs and businesses through the legal issues that they face. To learn more, and to sign up for her FREE how-to articles and FREE audio class, visit www.wisecounsepress.com. Nina can be reached at info@WiseCounselPress.com. This article is for your general information only and is not intended to substitute for legal or accounting advice regarding your specific situation.>>

What must I do right away?

At first you may feel nervous and scared about loosing or switching jobs, but in the end it can be a very positive, exciting experience! This is a great time to reevaluate your career goals and see if they are in line with your personal goals. Take this time to think about your skill set, gifts and talents. Ask yourself what you want out of the future. Do you want to look for another job in the field you were in? What is your dream occupation? Have you always wanted to open your own business? Where do your passions and interests lie? Where do you want to be in 2 years, 5 years and 20 years?

This time is also the perfect time to look at your financial snapshot, where you are financially at this moment in time. Starting a business or a career change is the ideal time to figure out where you are today and where you want to be down the road. Your financial situation will play a big role in deciding what your next step is.

Do I qualify for unemployment insurance?

Unemployment insurance provides help for those who have lost their jobs through no fault of their own. If you quit, you are not eligible for unemployment insurance benefits. Eligibility requirements for unemployment insurance are determined at the state level, in order to find out if you are eligible you should contact the State Unemployment Office for your state.

How much should I cut my budget?

Given that the income stream you count on has changed, it is important to make a solid budget you can live on. Follow these easy steps to calculate your ideal budget:

1. Track your spending for one month. Record what you pay right down to the newspaper, bagel and latte you grab on your way to an interview or business meeting.

2. Evaluate the results and pinpoint where you are spending your money.

3. Cut out expenses that are unnecessary.

4. Record what you think your expenses should be next month and stick to it.

5. Ask yourself:

• Could I, for a short period of time, find a way to spend less money on that expense?
• Could I do that activity less often?
• Could I do that activity at a less expensive location?
• Could I find a way to gain the same benefit but spend less money?

Where can I find extra money?

Job-seeking or starting your own business is where your focus needs to be, so your supplemental income should come from activities that require very little creativity and as little energy as possible.

Here are some ideas for ways to find extra money:

Part-time work could be a good option, just make sure to take some things into consideration: flexibility to return calls and network.

Investments can also help you supplement your income; look for ways to readjust your investment portfolio that will provide you the most security while minimizing tax liability! You can reposition your assets to a mutual fund that pays income, take dividends from mutual funds in cash, rent out your vacation home, second bedroom, etc.

Retirement Funds are also sources of income that could be used for extra money; beware of that fact that there can be huge disadvantages to this. If you use retirement funds as cash, this can cause stiff penalties. Generally distributions taken from a qualified plan, 403(b), 401(k) or IRA before the owner reaches age 59 ½ are subject to a 10% early distribution penalty.

How can I avoid overwhelming debt?

Try to stick to your budget during times of unemployment or starting a business. Be creative with ways to cut spending, evaluate what are necessary expenses in your life and what you can do without. Is having a gym membership and cable television worth going into debt over?

If you are thinking about starting your own business do research to find out how successful your business could be in your area. Talk to people who are already in the industry and investigate the demand for your product or services among your target audience. Starting your own business can be expensive and before you take out large amounts of loans you need to make sure that you can develop a successful business.

Should I rollover my 401K to an IRA?

Any time you leave an employer you have several options of what to do with your 401k.

• Move it to a rollover IRA. This is the best decision for 99% of individuals. Moving your money to a rollover IRA allows you to invest your money a wide variety of investment vehicles. You would need to open a rollover IRA at a brokerage or mutual fund company.
• Keep your 401k where it is. If you are happy with the funds you have available to you and comfortable having your money held by your old employer then leaving your 401k with your old company could be the right option for you. If your 401k balance is less than $5,000 your employer can choose to kick you out of the plan.
• Move it to your new 401k. This option will allow you to have all of your 401k investments under one roof. However, you will be confined to the investment options offered at your new company. You must check with your new company to verify if they allow rollover contributions.
• Cash out. Cashing out of your 401k plan is like jumping out of a plane without a parachute, we consider this financial suicide. If you are under 59 ½ then you will have to a 10% penalty in addition to income taxes due on your distribution.

If you move your old 401k to your new company or roll it over to a rollover IRA the best way is to do a trustee-to-trustee transfer. Basically, the check from your old 401k will not be written out to you, it will be directly transferred to your new account.

How do I make taxes work for me?

You must pay estimated taxes on your income or you could be in for a nasty tax surprise. Certain job hunting expenditures are deductible, only if you are looking for job in your present occupation. You can deduct your travel, employment agency fees and resume expenses. These expenses are deductible even if you do not get the job.

There are many tax deductions you can get for having a home office. You can deduct 100% of the expenses that are directly related to the home-office space and a percentage of indirect expenses that relate to your entire residence. So starting a business from home can pay.

Make sure to take advantage of tax deductions for unreimbursed employee expenses. You can take deductions for publications and association dues, along with deductions up to 50% of the amount you spent on travel, meals and entertainment. You can also take deductions for education expenses to maintain or improve skills in your existing job.

Hopefully answering some of your biggest concerns has helped put to ease some of your financial worries so you can dedicate your time and effort towards your new business or career. By following our suggestions above, you won’t loose sleep over your finances and this transition will be a time of adventure and excitement.

Take a closer look at the activities that are taking up the majority of your time each day. Are they absolutely necessary? Are they brining you new business? Are they helping to spread your brand message? I looked back on my business in 2007 and realized I had done too many free speaking gigs.  So as the inquiries started coming in for 2008, I realized I needed to say NO.

Create a BRUNCH trust

Many books recommend starting a BRAIN trust or a MASTERMIND group. Those titles can scare people off as they sound too much like MORE WORK. Brunch on the other hand, is a fun, social event. So think about creating a casual fun brunch where you’ll discuss what’s going on in your life and your business. I’ve gotten more great ideas, suggestions and support from my casual ‘girls only’ brunch group than any of the other professional groups I am a member of. Make sure you invite positive, creative women who can make a commitment to show up to the majority of the brunches.

Create a “TWO DO” list

Focus on accomplishing just TWO goals each and every day and anything else you do will be gravy. How many times have you started a TO DO list that is 20 items long and checked off 10 trivial tasks while feeling the pangs of guilt about the 10 items that still remain on your list? And how often do you leave at least 2 URGENT action items on that undone list? Well, that stops TODAY. Start a TWO DO list and get excited about crossing off those two ultra urgent items first. Last week I accomplished my  TWO Dos by 9:15 am on a Tuesday. Sure I had some anxiety about what to do with the rest of the day, so I happily dove into a TWO DO for Wed.

Master Your Messaging.

How many times have you been caught out there stammering and stuttering when someone asks you, So, What do You Do? Take some time to really think about who you are and what you bring to the table. What services and products do you provide that are better than anyone else’s? Customers want to buy the best. (And if they are just looking to buy the cheapest, let them look elsewhere.) If you have crisp, clear messaging, it becomes a lot easier to promote yourself and ask for the sale. If you are nervous and unsure of yourself, it’s more likely that you are going to say yes to the wrong client.

Change is Good TM

Many people think of change as scary. It’s the fear of the unknown. However, if you take an honest look at your business and know that you need to change, why not decide to think of it as a fun opportunity to grow and prosper? If you are afraid to change, that’s just going to hold you back. My colleague Barry Sarner embraced change so fully, he actually trademarked, “Change is Good” for his promotional items business. He’s on the right track. Come to think of it, I hope I can use ‘Change is Good’ here in this article. Well, I’ll take a chance and go for it! After all, I can always change it later.

-Gail Sheehy

Many of our clients ask me how I keep up with all the changes in technology that happen every minute. They want to know if I spend hours upon end online keeping up with the digital tornado that keeps the world of blogs, podcasts and online communities swirling together.

They are often shocked by my reply. The answer is I don’t try to keep up. I never have and I never will. I’d be crazy to think that I could.

Does that mean I don’t pay attention to advancements and developments in my industry at all? Heck, no. Then I wouldn’t be an expert.

If it sounds like I’m sitting on the fence, that’s about right; only I wouldn’t call it a fence (because I think fence-sitters are dilly-dalliers), I’d call it walking a fine line between being overly obsessed and comfortably in-the-know.

So, how DO I keep up with technology and, more importantly, how can you? The best way is to use strategy and structure. How can strategy and structure help you keep up with an amorphous, blob like technology?

Strategy

Make a master plan that includes how and how often you will address staying current with technology. Depending on your industry, maybe once a quarter you sit down and read a handful of trade publications or industry newsletters. Maybe once a month you offer to take your favorite technology expert out to lunch in exchange for light banter and guidance on where to focus your attention. Maybe it’s a teleclass or a webinar about the latest technology. Whatever it is for you, figure out your strategy – your how and how often.

Structure

Whatever your strategy is take the next step and fit it into your schedule (which, if you’re going to be successful, should be structured). Don’t just say you’re going to spend an hour each month learning about technology – block time off in your calendar and locate and register for a course you can take every month.

What works for me?

Every Tuesday and Thursday (again, this is my industry), I take a chunk of time to get caught up with the blogosphere. I only focus on online and social media technologies. I don’t know much about hardware, software or networking anymore because this is not a core service that we offer our clients. It’s taken me awhile to find this rhythm and I couldn’t be more pleased when people ask me about computer networking to say, “I don’t know.”

——————–

Lena West is the Chief Strategist at xynoMedia, a New York-based firm that helps companies develop social media marketing plans as well as build blogs, podcasts and online communities. You can read her Entrepreneur Magazine blog here: http://techforward.entrepreneur.com/

Dear Jill,

I hired a few new grads last year and am challenged by their attitudes.  They only want to work nine to five. They feel that the administrative parts of their jobs are beneath them.   They started seeking advancement even before they’d learned the basics of their current roles. Do you have any ideas on how to motivate people in this generation?

Thank you,

Cheryl

Dear Cheryl,

As a management consultant, I’ve heard many managers lament over the work ethic of new grads they’ve hired. I can certainly empathize with the challenges both you and they describe.  While much has been written on the differing values of recent generations, the keys to motivating employees remain constant.  Here’s what I suggest:

            Keys to Motivating High Performance

• Think about and treat each staff member as a unique individual

• Identify what each person values most (e.g., professional development, advancement, high-profile work, time off, etc.)

• Find ways to give employees what they most value in exchange for delivering what you most want (e.g., high quality performance, positive attitude, willingness to work additional hours, etc.)

• Provide positive feedback and reinforcement for desired behaviors.

For example, if one of your people really wants professional development, invite him or her to shadow you on a high-profile project. Be explicit about your willingness to invest in the employee’s development, as long as he or she puts forth best effort (e.g., demonstrates a positive attitude toward the more mundane aspects of his or her work). Coach the employee on performing a few of the project’s tasks and provide positive feedback, as appropriate. Your interest alone is likely to bolster the employee’s attitude.

Finally, try to avoid generalizing about the generational roots of younger staff’s attitudes.  Current research confirms that people are most motivated by feeling valued and appreciated by their employers-a constant across generations.  Good luck!

When Clients Leave Their Jobs

Hi Jill,

I’ve had a number of key clients leave their positions over the past two years, mostly due to reorganizations. Some have taken new jobs and others have retired. This has had a major impact on my project sales. Do you have any suggestions on how to maintain business when a primary contact leaves?

Thanks,

Brenda

Dear Brenda,

It can be very challenging when a key client leaves a position-particularly if he or she represents a large percentage of your client base.  Keep in mind that just because people leave their jobs, doesn’t mean that they want to leave their relationships with you.

Depending on the strength of your relationship and the particular situation, many clients would be happy to assist you in maintaining business in their organizations. You might ask for the following types of help:

If you aren’t currently providing services, ask if your client can give you even a small project prior to leaving-ideally one that will require face-to-face meetings with the individual taking his or her place.

If this isn’t possible, perhaps your client can recommend your services to the individual coming on board and arrange an opportunity for you two to meet.

This also might be an excellent time to ask your client for other referrals within the organization-or elsewhere-even if you’ve done so in the past. 

Whether your client is changing jobs or retiring, express a desire to continue the relationship, if appropriate, and then follow-up.

Client departures serve as excellent milestones to express gratitude, both for the client’s business and anything else that you’ve received. Paradoxically, such transitions can carry relationships to the next level!

Most important, if you stay positive, you’re likely to discover new opportunities these seeming “losses” can create!

One of the great messages of the Tao is to live without excess, to voluntarily decide in favor of simplicity, to know when to stop, to decrease, to do things in moderation and to stop accumulating.  This is a hard model to follow in a world where sales managers strive for increased sales from their teams and where people often measure success by how much wealth they amass.  What most businesses don’t understand is that the more you give, the more you receive.

I work with a web design company that has adopted a wonderful model for giving some of their excess profits away.  Each year, they set aside $100,000 that will be given to a charitable cause at the end of the year.  Throughout the year, their employees visit the charitable organizations that apply for the money.  This gives the employees an inside look at the people who will distribute the money they give and the causes behind the names.  The employees become educated about the various causes and become volunteers in the process.  There is a real connection made between people.  When the money is rewarded by an employee vote at the end of each year, there is heartfelt confidence in the winner.  An interesting thing has happened to this company’s sales as a result of their giving.  More people want to do business with them because they know that some of their money will be going to a good cause.  What can your company do to share the excess and stop accumulating to pay it forward instead?

Letting go and looking at things without attachment is another message of the Tao.  Get rid of a few rules, never use force and live without authoritarianism.  I find that if I give my contractors flexibility, they often do way more than I expect.  When I change to allow people to share their opinions and viewpoints, I always learn way more than dictating my own rules and ways of being.  When I stop myself from speaking and genuinely take the time to listen to others, I always learn something that enhances my business.  Is there a rule you could give up in your business?  Could you allow your employees some flex time or delegate a decision that really doesn’t have to be made by you?  How can you be more flexible in your business dealings?

I was discussing with one of my colleagues the other day how I need a new bookshelf.  She suggested I make a bookshelf out of books.  Why buy a bookshelf when I can take a few books I probably will never open again and make a frame out of them to support the books I will reference again?  Not only will I save money by not buying a bookshelf, I’ll have a really cool piece of artwork suspended in space that will cause my clients to pause yet also serve a function. What can you change in your business to let go of something that is no longer useful?  Can you stop before you buy something and recycle something you already have or look at something old in a new way?  Make a list of 10 things that you’ve labeled useless or outdated and re-interpret them.

Change the way you think of yourself as separate and start seeing yourself and your business connected to everyone and every other business.  I often put myself in my clients’ or employees’ shoes. 

How would I feel if my order didn’t arrive on time?  How would I feel if I missed my child’s soccer practice to work overtime?   When you shift your perspective towards connecting with and understanding others will you recycle, relax and accept more.   Will you judge less?  What happens to your thought process to know that your business is connected to the entire planet?  I never see my competition as a threat.  In fact, I often seek out the competition to see if they are interested in partnering on projects.  What does it matter if we’re all successful?  My energy is better spent wishing my competition well than sending out fear-based thoughts against them.  Changing my thought process changes the way I conduct business.

Change is the only constant in life.  You are bound to feel this ebb and flow in business.  “When bad fortune feels so troublesome that you can’t get unstuck, see good fortune leaning on it”.   Everything changes.  We wouldn’t know what good is if we hadn’t experience the bad.  We couldn’t appreciate beauty if something wasn’t ugly.  The one thing you can bank on in your business is change.  Why not just expect it and accept it?

One way to adapt the company’s concept to fit the market needs is by paying attention to trends in the chosen industry.  How does the concept of the company correlate to industry happenings?  Does the trend indicate the company needs more technology or less?  Do you have a “brick and mortar” shop and the industry trend indicates that most sales occur online?  Carefully monitoring the trends gives your start-up and concept an edge on strategic opportunities.  Consider the industry you are in and how adapting the concept to a market shift could avail the company to new strategic opportunities.  The best way to do this is to examine the Strengths, Weaknesses, Opportunities and Threats.  This is called a “SWOT Analysis.”  Ask the questions, “How does it stand up in the current industry environment?”  

 Once that is done, update the SWOT Analysis and see what other area of the industry the company could thrive in.

Using this planning tool tells you how obtainable the “new concept” and also consider the following:

1) What do could you do to develop more strengths?

2) What could you do to guard against weaknesses?

3) How could you capitalize on each opportunity?

4) How could you protect against threats?

Answering these questions will help you consider how “scalable” is for the market shift.  To give an example of this, in 2000 Morgan Spurlock started a web production company called “The Interactive Consortium.”  He then shortened the name to “The Consortium” and realizing that there were too many companies using that name, he shortened once again to its current name “The Con.”  Then to his and everyone else’s surprise, the dotcom industry, at that time imploded.  So he went from a web production company to a documentary film company where he created the award winning film “Super-Size Me.”  The key point is the concept of the start-up company was adapted to fit the market change.

Changes in the market will always occur.  What will be favorable for one industry and some companies will be unfavorable for others.  A start-up company must commit to tracking trends in the industry therefore making change an adaptable opportunity rather than a downfall.  It is always easier to maneuver when you know what shifts are on the horizon.