"More than education, more than experience, more than training, a person's level of resilience will determine who succeeds and who fails. That's true in the cancer ward, it's true in the Olympics, and it's true in the boardroom."

– Dean Becker, president and CEO of Adaptive Learning Systems from "How Resilience Works" by Diane L. Coutu (2008), Harvard Business Review, May 2002. Pgs 46-55

FACING A NEW REALITY

When the uncertainty of the economy weighs heavily on small business owners, it can be tempting to slip into denial or feel victimized or helpless when bad news hits. But confronting facts and acting quickly and creatively is the resilient way to move toward finding solutions to your current situation.

SENSING REALITY AND RESPONDING CREATIVELY

A survey of small businesses conducted by SurePayroll and reported in the New York Times, showed that despite the cooling market, 30 percent of respondents increased sales in the last year by offering customers more value for the price, modifying products or services for the new market reality, or expanding into new markets. These businesses assessed the new business environment quickly and responded creatively.

FIND OPPORTUNITIES AND ACT FAST
When American consumers started cutting back on non-essential health-care procedures, a small business operator in New York hired consultants to explore exporting its laser device for treating hair loss. Within a year, this 12-employee company had compensated for the sales decline in the United States with successful equipment sales in Russia, Brazil and Saudi Arabia. In another case, a small couture boutique owner invested in a series of bigger-than-life marketing events to create a lasting impression on her top 200 clients and to create "buzz" during the New York marathon. She expected a sales increase of 10 percent in 2009.

The trick to being resilient today is to combine the strengths of an organization with knowledge of the customer in the current economic environment - and to adapt quickly. In a Wall Street Journal article entitled, "We've Been Here Before," Nancy Koehn, author and professor of business at Harvard University, cites changes in the Cheesecake Factory's model to boost falling sales (listen to Podcast). Known for ample portion sizes, Cheesecake Factory added smaller plates with smaller prices to drive traffic and attract customers looking for more value and healthful options. Without a lot of market research, Cheesecake Factory bet on a new strategy and executed quickly and successfully.

To pull victory from the jaws of defeat, these resilient organizations faced facts and found creative ways to adapt their businesses to the new reality. How do these companies differ from those who have not survived the recession? Resilience is the answer.

Do you have a story to share? Share your story of resilience and success and it may appear in a future issue of Business Connections. Let us know by sending an e-mail to info@readbusinessconnections.com.