Wednesday, February 25, 2009
Don't panic: Someone's getting rich
Warren Buffett is a smart man.
When he says, "be fearful when others are greedy, and be greedy when others are fearful", I think he must be rubbing his hands together right now.
The fact is- someone is making money in this economy;
Bankruptcy lawyers are seeing serious business growth...
People are turning to investment advisers with the remnants of their savings like they do to their doctor's with an incurable ache or illness...
Young professionals are buying houses again as they become within their reach...
Great businesses are poised to increase their market share as the unrefined/ unpolished/ unprepared go under and their customers and clients look elsewhere for their needs.
The fact is- some really poor policies (on lending) and some really poor leadership; as well as greed and the naive pursuit of the American dream - got us where we are. A return to sound fundamentals; hard, smart work, and bringing something to the table in terms of your values and skill set are what is going to turn the economy around.
One thing people have to remember is that what differentiates 'market fluctuation' from 'recession' in many cases is wide spread panic. Yes, there are a multitude of complex factors at play here- but panic cannot be ruled out, nor can it be allowed to continue.
When people get that BP oil will not be worth $1 per share, they will remember there is a value to everything, there is a floor to the value of the biggest companies in the world, and there is something that each business can do to appeal to their consumers other than raising white flags.
YOU as an employee, consumer, and investor can do something, and if you run a business you HAVE TO do something in terms of the example you show your people and the productivity and results you demand.
It may be a brutal economy right now... but as many people lick their wounds, others are busy putting the work and strategies in place that, when things correct themselves and they come out on top- everyone will be asking them what they did.
Right now you can be that person or business working relentlessly that will a) survive and b) prompt others to ask "what's your secret?" or you can be the person asking, "why me?"