Just a few short years ago, these business were on fire: Blackberry, Border’s Bookstore and Circuit City. At that point in time, you would have never speculated they would lose rapid market share or ultimately go out of business. Yet, here we are in 2016, barely remembering what they or their products and services were all about.
So, what is it that makes a seemly solid business go under? And what can you do – regardless of the size of your organization – to prevent this? Here are some tips for consideration as you move through this year and next.
5 Worthwhile Business Strategies
Put together a business continuity plan.
Depending on what research you look at, approximately 40-75% businesses never reopen after a disaster. Unfortunately, most of these businesses do not have a plan and/or train their employees about what to do when a disaster strikes.
Having a continuity plan forces you to look at all the possibilities and put in motion the proper back-up system and communication program before you may need it, which ultimately will keep your business running even during difficulttimes.
Never underestimate the power of the little guy.
Consider these two situations:
This year, one NYC taxi company has had a 40% decline in business due to the infiltration of Uber and Lyft, which were founded in 2009 and 2012, respectively.
Airbnb, which launched in 2008 with two properties, is expected to own 12% of the U.S. travel market this year.
The moral is to always be on the lookout for what is trending and never, ever assume whatever start-up is eating into your market share now is just a fad and it will fade into the sunset. While some start-ups will, others will thrive and grow. Why? Because they are giving the consumer what they want at a price they are willing to pay.
And worse yet – many of your competitors might not even be formed yet.
Accordingto IDC, in two short years, 33% of the Fortune 20 companies will be significantly disrupted by new competitors that create new services using a combination of:
- Mobile computing
- Social Media
- Cloud computing
- Big Data and
- The Internet of Things.
If your company has not embraced the five items listed above, now is the time to do so and keep your eye on businesses that flourishing in these five areas.
According to The Boston Consulting Group, big companies overestimate the longevity of their products and underinvest in building new ones. When times get tough, they reduce costs rather than focusing on research.
This cycle can be broken by introducing new products while existing ones are still flying off the shelf.
Think rental or lease versus buying.
The future predictions are everything will be on-demand from the computer you use to the car you drive. For example, Hartford Technology Rental offers a Flex-Rent option that allows you the option to pay for the computing power used, even when the equipment remains in your office and might not be touched for days at a time.
Since technology is changing very quickly and its use with a changing workforce is not known, rental or lease options may make the most sense for your organization.
Hartford Technology Rental Has Innovative Solutions
When you put our rental orlease solution at the center of your business strategy, a more streamlined approach in handling your technology needs can begin. Contact us today at 888-520-5667 to learn more about how we can assist you in putting together a competitive business strategy plan.