As far as I can tell there are only 3 business strategies we can employ right now during this crisis:
- Hunt
- Hibernate
- Die with Dignity
It takes an astute and mature business mind to be honest about which one is right. In order to do that, I’ll break them down by borrowing stories from nature (biomimicry) to explain each.
Hunting
This isn’t a general, everyday hunt where we go known stomping grounds to get a win. The type of hunting we need to do today is about cutting new ground. We need to hunt beasts we’ve never hunted for before. We need to use new tools, different spears, and maybe even enter enemy territory. We are going territories we haven’t mapped before – some of these territories might not have been mapped by anyone, ever. We may die on the journey – be we are prepared to take that risk to survive, because we know we have no other choice. We eat or we die.
Hibernate
Just like a bear we shut everything we possibly can, off. After we have done this, we go and hide. We find somewhere to sleep and try to maintain a heartbeat with the minimum amount energy being expended. Though, in this case, energy is money and other resources. The reason we choose this strategy is that we know our DNA cannot survive this economic winter. This is the strategy for physical entertainment complexes, travel and airlines for example. When the snow clears and conditions warm up – (virus clears) we come out and hunt again. While we might be weak from hibernating, we have a fighting chance when the season finally turns.
Die with Dignity
In this case we know we can’t make it. We are not strong enough, we don’t have the resources, and in all seriousness the business was probably going to die anyway. So, we plan for the inevitable. We take what resources we have left (money / assets / IP) and allocate them to our progeny – a new business we might open when conditions are right again. This may be as simple as documenting the lessons and mistakes, or down selling assets and shutting up shop while there is still something to save. This option is better than fighting a losing battle. It takes honesty, and it is not defeatist. Nature does this too. Many plants and vegetables only last a season, but they always give off plenty of seeds for when conditions are right the following year. The seeds are the assets for a new future . They ready to spawn when conditions are right, even they they are tiny, they can grow into something massive. Without the seed though, we have nothing, we have no chance. This strategy knows that things only die truly die when nothing is passed on to the next generation.
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Choose Wisely.