Innovating through the Recession

When the Going Gets Tough, the Tough Innovate

Moments of economic turbulence provide the unique opportunity to start new businesses, launch disruptive new products, and strengthen customer loyalty - often at a discount. During these challenging time, here are a few pointers on what to do, why to do it, and what to avoid.

Listen to the market. It’s quieter when it’s less crowded. Unmet needs abound.
Invest in your customers. Now they need you most. Loyalty hangs in the balance.
Rather than reduce price, offer more value to your customers and demand greater value from vendors.
Increase communication with your customers.

Move longer-term project forward not back. Now is the time to grab market share.
In a recession, not all costs are created equal. Maintain or increase investment in good costs, prune bad costs, and use judgement on it-depends costs.
If you don’t have the time, at least spend the money.

Written by Andrew Razeghi. For a more in-depth look at these points, read the entire article at http://www.scribd.com/doc/7450921/Innovating-Through-Recession-Andrew-Razeghi-Kellogg-School-of-Management