As the fallout of the covid pandemic and 2025 Trump Tariff wars takes its toll on businesses and communities across the globe, one approach by businesses would be to simply cut back and hope to rise out the recessionary storm with a strategy to do as little as possible and go with the status quo.
Necessity to Innovate
Another approach would be to use the global uncertainty effects as a necessity to drive change and adapt, through innovative thinking, and come out stronger, with a competitive advantage over your stagnant rivals. The entertainment, fashion, sporting and electronic industries all know that innovative thinking, irrespective of economical climates, is the only way to survive, drive competitive advantages and gain new revenue streams. For example, Apple Computers in the mid-1990s was facing record low sales and crippling financial losses. Yet under the innovative guidance of Steve Jobs, who restructured the company’s product lines, bought us the iMac, iPod, iTunes, iPhone, and an entirely new “Apple buying experience”, steered Apple back to profitability. Similarly, the global retail food giants are looking at their: customer base; inflationary prices; changing banking traditions (think digital and crypto currencies), and taken the innovative steps of breaking into the financial services industry by offering current accounts and mortgages.
Innovation is a necessity against market downturns and a remedy to rejuvenate growth, so instead of putting off those ‘competitive edge’ and ‘efficiency drive’ projects, till times get better, do these projects now. If costs are an issue, then may be outsourcing to a low-cost partner, is a solution to implement your innovations and keeping those revenue lines flowing in recessionary times.