CEO Tools Blog
Aug 12-Seasons of Business: Anticipate the Future!
Twelve-Seasons this month turns to pro-acting with respect to emerging business conditions, or from a different perspective: anticipating the future. Specifically, this means address, analyze and act on what is happening in your industry and the U.S. and global economies relative to your business.
Much is available regarding the economic outlook around the world, and as most of you know my preferred information source is ITR Economics (Alan and Brian Beaulieu). They’ve just published their new book significantly entitled “Prosperity in the Age of Decline,” which looks at the longer-term economy as well as nearer term implications.
The Beaulieus’ focus is on pro-acting. Taking action in the face of the forecasted economic slowdown toward the end of this year, followed by three years of substantial growth with concomitant inflation and interest rate increases, and then recession toward the end of this decade. Seems like smart things one might consider would be when, how and where to invest for your business in light of this timetable, perhaps increasing credit lines and cash availability for the growth periods, switching from variable to fixed rate financing ahead of interest hikes, and preparing in advance for the inevitable downturn.
You also can glean great insight at the ITR website www.itreconomics.com where the Beaulieus provide weekly updates on their current outlook for the U.S. and comments on other markets. Obviously, assessing the extent to which your industry is positively or negatively impacted by these factors as well as your industry’s own evolving outlook is indicated.
Hope these thoughts prepare you for pro-action! Incidentally, the Beaulieus have been 94.7% accurate in their macroeconomic trending since the 1980’s.
All the best, Kraig