Crises are always fighters of ambitious people, and every crisis is an important opportunity to change the market structure. The following is what I have compiled about how entrepreneurs respond to the crisis. I hope it will help everyone.
How do entrepreneurs cope with the crisis? 1 In an enterprise, we often hear employees complain about their leaders. Even many employees will say when they arrive at their new posts: How did my last unit sigh? Actually, it's not that their last unit was better. But it can also explain the shortcomings and shortcomings of each manager.
The key to successful management is not to eliminate all the problems, but to focus on the main problems existing in the enterprise at this stage, so that the enterprise can grow, mature and grow up to face the problems in the next stage. After starting a successful business, the main management problem faced by enterprises is management crisis, which is embodied in the following points:
First, entrepreneurs are exhausted and can't see one thing.
Second, decisions cannot be effectively implemented.
Third, the old employees lack the motivation to continue to innovate.
Fourth, enterprises are not profitable.
Fifth, new and old employees have problems and contradictions.
Recommend the crisis management coup that enterprise managers should have;
First, try to empower yourself to get rid of heavy work.
Many managers are afraid to hand over their companies to others. They have to intervene in everything and ask any small questions. This is not a good idea. In the process of starting a business, entrepreneurs mainly implement management through centralization. After starting a successful business, entrepreneurs need authorization, but don't delegate. The so-called authorization refers to the process of assigning tasks from top to bottom in an enterprise and making employees feel obligated to complete the tasks. It is also a management method of decision-making, task execution and responsibility to people.
Second, establish a stable incentive mechanism to unite employees.
Entrepreneurs and employees bear huge risks and need to share joys and sorrows. Entrepreneurs need a better future to protect their own future, and they also need a certain return to enjoy it. This requires strengthening the management and cohesion of employees, and not becoming a stage where they can only share joys and sorrows. In order to develop steadily and unite more outstanding employees, entrepreneurs should consider establishing an effective incentive mechanism, which can not only protect the vested interests of old employees or partners, but also unite more employees to move forward.
Third, establish a sound organizational structure.
Only by establishing a sound organizational structure can we support future development. In the process of starting a business, entrepreneurs and enterprises only respond to various opportunities, rather than developing and utilizing future opportunities created by themselves in a planned, organized and clearly defined way. Entrepreneurship needs a good environment, but it can't be influenced by the environment or external factors. also
After starting a successful business, we should not only establish a correct corporate culture, but also establish an accurate self-management mechanism. When the dream of starting a business becomes a reality, entrepreneurs should establish a correct value system. Only in this way can we really succeed. Crisis management is the most important aspect that enterprise founders should strive to manage, and it is also a key factor to enhance the cohesion of employees and enhance the image and competitiveness of enterprises.
Crisis management is a kind of ability and an essential strength for entrepreneurs.
How do entrepreneurs cope with the crisis? 2 1. Make full use of existing knowledge
In the face of a global crisis, even a crisis that only affects your brand, you often need to adjust your business methods to transform your products and services.
Successful brands will make use of their existing professional knowledge to make adjustments quickly and effectively.
Professor of the University of North Carolina explained: "Historically, when automobile manufacturing became an industry, companies that produced horse-drawn carriages had expertise in this field, because there was always something in common between making horse-drawn carriages and making cars."
Moreover, the research shows that in the period of rapid iteration of product update, companies with certain professional knowledge are more likely to launch new products.
Entrepreneurs should change their thinking and fully measure their current professional knowledge before they can provide new products or services.
For example, the brand of beauty products turns to produce hand sanitizer to solve the epidemic crisis, not only to assume social responsibility, but also to maintain its own operation. For another example, Kodak used its rich chemical knowledge reserve and large-scale operation system to successfully rely on the resurrection and transformation of imitation raw materials.
2. Put digital technology in the first place
The author said that digital technology has proved to be a "hard power" to survive the crisis.
The COVID-19 epidemic has seriously affected enterprises that rely on physical stores. When the government ordered the closure of non-essential enterprises to stop the spread of the virus, many enterprises lost all potential sources of income.
Nowadays, brands must consider how to make better use of digital technology so that their products and services can reach potential customers at any time and any place. For example, the retail industry goes online, telecommuting makes online video software popular, chat robots are used to help patients classify, and various online classes are in full swing.
As BDO, a consulting firm, points out, brands that use digital technology will become more efficient and productive. They can better discover customer trends through data and make decisions faster.
Therefore, those enterprises that formulated and implemented digital strategies before the outbreak of the epidemic are now surpassing their less flexible competitors.
Find ways to help others.
Sometimes, a crisis may not directly affect your business-but it will affect others in the niche market related to you.
Therefore, even if your business is still running and other brands are still struggling, it is necessary for you to consider how to help. This is to prevent the crisis from spreading and eventually affecting itself.
The author gave a recent example about the sportswear brand Born Primitive.
The epidemic situation has a great impact on the fitness industry, which is closely related to sportswear. The last thing clothing brands want is that the gyms in the community have closed down, which means that sportswear can't be sold.
Therefore, the brand decided to cooperate with other brands to carry out activities to encourage gym members to retain their membership in exchange for gift certificates of participating brands.
To this end, the company finally issued a gift certificate worth $654.38+RMB 5,000 to help the gym retain consumers who may cancel their membership.
Shopping malls not only compete, but also win-win cooperation. Today's efforts to help other brands can help you get much-needed support in the face of crisis in the future.
Focus on long-term results
When faced with a crisis, it is easy for people to find quick solutions, such as helping your customers tide over the difficulties, or keeping your business going for another week at the expense of other stakeholders. But this practice is often not conducive to long-term development.
The author quotes stanford graduate school of business as saying that if a decision unfairly hurts stakeholders, its negative impact on the reputation of the organization will last for a long time, and its damage will far exceed any short-term gains.
Therefore, before entrepreneurs decide how to deal with the crisis, take some time to consider how each choice will affect your customers, employees, business partners and anyone else who can be regarded as stakeholders, and then evaluate the short-term benefits of a specific solution according to the long-term results.
Anyway, a decision that keeps you going this month but hurts others will eventually bankrupt you.
On the other hand, even if you need extra efforts and sacrifices, the right choice can help you establish a brand image that truly puts customers first, so as to get through the crisis in a down-to-earth manner.
The epidemic situation in COVID-19 and the current social environment are both a major challenge and an important learning opportunity for all entrepreneurs.
Only those enterprises that learn from challenges will adjust their business methods in order to better cope with the unpredictable future. With the right method, even the most serious crisis can be handled correctly and become controllable.
Who controlled the ups and downs of the financial crisis?
Since September 2008, the global financial crisis has also affected the entrepreneurial environment of China people, and entrepreneurs have felt the chill brought by the economic winter. What impact does the financial crisis have on China people's entrepreneurial activities? How should entrepreneurs face challenges and opportunities, find a turning point in the crisis and establish a way to survive? The report answers the above questions one by one.
Shock wave of financial crisis
Among the 3306 samples surveyed, most entrepreneurs think that the financial crisis has an impact on their own enterprises, accounting for 62.54% of the total samples. Among the enterprises affected by the financial crisis, joint-stock enterprises and private enterprises are the most affected by the external environment; From the perspective of industry, personal consumption service industry accounts for the largest proportion (18.42%), and agriculture is greatly affected. Coexist with most enterprises affected by the financial crisis, and a few entrepreneurs think that the financial crisis has no impact on their own enterprises, accounting for only 13.65% of the total sample. The survey results show that those enterprises with less than 200,000 funds and less than 20 employees are relatively less affected.
Sudden changes in the external environment of enterprises.
Since the financial crisis intensified, the external environment of enterprises has changed greatly, and the economic environment at home and abroad has changed, which has affected the development of enterprises. In the case of sudden changes in the external environment, the demand for products has decreased, profits have decreased, financing has become increasingly difficult, and the termination of many export businesses has forced enterprises to turn to domestic sales.
The impact on different enterprises is different. For enterprises of different nature, the external environment of joint-stock enterprises changes the most; For enterprises in different industries, the external environment of basic service industry changes the most, followed by processing industry, and agriculture is rarely affected.
Challenges and opportunities under the crisis
The financial crisis has reduced nearly half of corporate exports, but the decline in corporate exports has not exceeded 30%. The profit rate of most enterprises is directly affected, and the profit decline rate is mostly below 20%, and the profit decline rate of very few enterprises is above 50%. In order to reduce the losses caused by the financial crisis, many enterprises reduce their costs by laying off employees and reducing their salaries. However, the study found that most of the domestic enterprises affected by the financial crisis laid off fewer than 50 employees. Among them, about 40% of enterprises did not lay off employees when the crisis came, while more than 70% of enterprises did not lay off more than 10 even if they laid off employees, and the proportion of enterprises with more layoffs was very small.
But all previous crises are the starting point of industrial restructuring, and crises always bring opportunities for asset restructuring and mergers and acquisitions. The decline in commodity prices is conducive to alleviating domestic inflationary pressures; Strengthening technology introduction can promote the adjustment of industrial structure. It is found that, in terms of the opportunities brought by the financial crisis, entrepreneurs most recognize the improvement of business processes and the improvement of organization and enterprise management.
Survivability under crisis
The changes in the internal and external environment of enterprises caused by the financial crisis have put the viability of enterprises to the test. This survey divides the factors that affect the viability of enterprises into five aspects: environmental factors, resource factors, organizational factors, strategic factors and personal factors of entrepreneurs. The results show that entrepreneurs think that they all have a positive impact on the survival of enterprises, while data comparison shows that resources are the most important factor and need to be considered. Compared with intangible resources (including reputation, organization, technology, etc. ), entrepreneurs believe that tangible resources (including raw materials, equipment, venues, etc. ) can affect the survival of enterprises. However, strategic factors have the weakest influence on the viability of enterprises.
The personal factors of entrepreneurs are the most obvious differences between different enterprises, and also the key factors to improve the viability of enterprises. Regarding the role of entrepreneurs, the survey divided them into 17 aspects, and the results showed that entrepreneurs had a positive evaluation of the role of entrepreneurs. What they attach most importance to is to formulate "correct company strategy". Secondly, entrepreneurs should have "strong teamwork ability". Relatively speaking, entrepreneurs think that the least important ability is that entrepreneurs can "find the right investors".
Changes in the crisis
The financial crisis is still shaking enterprises, but entrepreneurs are optimistic about the future market recovery. Most entrepreneurs believe that their enterprises can return to normal level in the next two years, accounting for 70. 16% of the total sample. Entrepreneurs who participated in the survey also said that the financial crisis has also brought opportunities to enterprises, mainly in helping to improve business processes and organizational management. Moreover, entrepreneurs generally expect to save costs internally, expand market scale, improve enterprise management and improve product quality; Externally, it is up to the government to take favorable measures to improve the financing environment, policy support and tax incentives to help tide over the difficulties.
As the only survey report on people's entrepreneurship in China, it has been released for four consecutive years, which not only fills the gap in the research field of people's entrepreneurship, but also caters to the situation of "promoting employment through entrepreneurship" and "encouraging more workers to start businesses". At the same time, the first-hand data and professional analysis presented in the report will also inspire and guide the work of the government and related research institutions and the entrepreneurial practice of the people.
;