With the economy looking like it’ll be suffering for at least the next few years, this may be the perfect juncture to find a business idea that you can market. Business Insider reports that chain restaurants across the country are closing more than 1800 outlets. Some companies, most noticeably providers of storage pods and smaller, more agile enterprises can change their business model and adapt to the changing economy. But with so much uncertainty, why is now the right time to find a business idea? Recovery is a certainty. The economy’s downturn may be sharp and drastic, but businesses founded on solid principles have a larger chance to succeed. But what principles are essential in a post-pandemic company? What will ensure its resilience against negative market forces? Let’s take a look at how you could locate your next business idea in the pandemic.
Look At The Three R’s
McKinsey mentions a strategy for locating business ideas that work in any economic downturn. It’s based on the premise of rapidly recovering revenue, or “the three R’s.” Business ideas that fall into this category display several characteristics that make them noticeable, including:
Ø Startup mindset: they’re always in action and continually making things happen
Ø Human-centric: it bases itself on utilizing how its employees and managers work best
Ø Acceleration of analytics, tech, and the digital space: the business delves into digital in a big way, embracing emerging technology
Ø Purpose-driven for the customer’s convenience: the business must take into account what its consumers want and need
Ø Ecosystems and adaptability: The business model must be able to pivot in case another major disaster strikes the economy
The three R’s are a way to use fundamentals to spot good business ideas. Each of these things makes the business not just pandemic-proof but recession-proof as well.
Look For Proactive Ideas
In a business world where most companies operate on the principle of reactivity, proactive thinking is more likely to lead to a resilient business idea. The end of the pandemic will signal business growth in several areas, but the impetus to push that growth won’t be the same as it was pre-pandemic. Instead, this new business landscape will be looking for companies that can adapt and shift to meet consumers’ needs and the demands of the market. However, the businesses that can do so consistently early will be at a definite advantage.
Building Recession-Proof Companies for a Post-Pandemic World
The business world will take some time to recover, and investors may not be willing to let go of funds just yet. However, getting an idea now and sitting on it while you wait for venture capitalist firms and banks to once again be ready to lend is the proper approach. The economic downturn will affect many businesses, and spotting the ideas that can bounce back and recover will be critical to bringing those ideas to prominence on the other side of the pandemic’s shroud.