How Some Businesses Thrive in a Down Economy

While doing some research the other day, I came across some interesting information that might take some of the guesswork out of how to run a successful small business in a down economy.

Historian David Landes recently asked the question, "Why do some people and businesses thrive?" In his book The Wealth and Poverty of Nations - Why Some Are So Rich and Some So Poor, he discusses his findings. He concludes with the following answer:
"In this world, the optimists have it, not because they are always right, but because they are positive. Even when they are wrong they are positive and that is the way of achievement, correction, improvement, and success. Educated, eye-open optimism pays."

What he is saying is that we need to develop a passion for what we do. In other words, it helps to enjoy what we do, and to be good at it. If we enjoy what we do and are good at it, we will want to continue to grow and develop our skills and knowledge base in this area. No doubt about it; if you are growing and improving, so will your small business.

The people who we hire and surround ourselves with, must share this passion for what they do. Well, how do we create that kind of passion in them? The same way. We find people who have the potential to be good at their job and encourage them to grow and develop their skills that take them to the next level.

Taking this one-step further, what are some of the ways we can encourage our employees to grow and develop their skills? As I have always said, "praise pays". When you see them doing something right, praise them. Praise can be done both privately and in front of their peers. It can be done when they are present and when they are not.

Among many ways, recognition can be given during their performance appraisals and in the form of added responsibility and monetary reward. Again, your company will grow when your people grow.What happens if you discover after you have hired them that they do not want to or will not develop that potential? The best thing to do is give them a chance to work elsewhere.

So, to help you and your small business thrive in a down economy, remember it is an "inside job". It starts from within. Grow yourself and your employees. When you do, the chances are you and your company will grow and thrive.

By Tom Borg

Tom Borg is president of Tom Borg Consulting, LLC. He is a business consultant, speaker, trainer, coach and author. He works with small and mid-size businesses and organizations and helps them develop their most valuable asset – their people!