The Cheerleader Response

The first response?the ?cheerleader??simply refuses to participate. I love this attitude and in fact agree with it on

many levels. However, there are two versions of this, one of which is workable and one that is not. The first suggests that you not partake in the thinking, actions, and behaviors of those agreeing with the economic contraction. While I agree that it?s best not to buy into mass negativity, maintain- ing a totally positive?and therefore somewhat unrealistic? attitude during a time of serious contraction is, at best, a state of temporary denial. It?s like you try (unsuccessfully, in most cases) to convince yourself ?not to participate? and that somehow, you will be okay. I consider myself an opti- mistic person and believe my mental condition is critical to success, but it would be irresponsible and unworkable to suggest that the economy can be made different by mentally ?pumping yourself up.? You actually have to do something! It is hard to deny that credit has tightened, lenders are calling in credit lines, companies and individuals are spending less, and people are losing their jobs. I don?t know of a company or an industry that is not experiencing some type of reduc- tion in its revenues. Something very real is happening, and just cheering your way through it and refusing to participate will not change anything.

As I write this, 20 percent of all teenagers in this coun- try are unemployed; so if the product or service that you sell is dependent upon that demographic, it will affect your business. Over 10 percent of the workforce is unemployed. In some locations, that number already exceeds 15 percent and is still climbing. These statistics are frightening in their own right and negatively impact those who can?t find work. Add to that the financial damage caused by fear, anxiety,

uncertainty, and lack of confidence, which can be more dev- astating than the actual facts and figures themselves. Auto sales are off by almost 40 percent, retail sales are hitting lows not seen in 25 years, foreclosures are hitting historical highs, massive amounts of wealth equity have disappeared with the downturn in housing prices, people have seen their 401(k)s cut in half, banks are failing at alarming rates, and credit is being frozen. Positive sayings and optimistic attitudes alone will not get us through this.

I am not trying to alarm you in any way, but operating under the impression that you can simply cheer your way out of this is unrealistic. We?ve received a serious wake-up call; those who respond by taking the right actions will advance, and those who sit by and do nothing will endure a lot of pain.

Let me give you an example. I live in Los Angeles, where?unlike the Gulf Coast, where I grew up?natural disasters are earthquakes, not hurricanes. The major dif- ference between these two events is that earthquakes offer no warning and last only a few seconds (rather than several hours). So let?s say you live in or are visiting Los Angeles, and there?s a major earthquake?an 8.5 on the Richter scale. Regardless of how good a salesperson you are, you will have a difficult time selling anyone?including yourself?on the idea that he or she should just refuse to participate. When you see and feel the ground you?re standing on move for the first time in your life and watch as buildings sway, trust me, you will not be able to cheer this off. During moments of intense episodes like hurricanes and earthquakes, even stock

market crashes and economic pullbacks, people become overwhelmed, freaked out, and tend to overreact. Typically, the first reaction to violent changes is to freeze up or retreat and for many, to simply deny the reality of what is happening. People are unprepared and unskilled to face such changes and don?t want to confront the damages and discomfort they will bring.

However, denying the fact that you?re experiencing an earthquake will certainly not change the fact that you should probably do something different to protect yourself and take a specific set of actions in order to ensure your safety and survival. For example, you might have to take a different route than usual to obtain food, water, and fuel since roads, bridges, communications, electricity, and the Internet will all be either jammed or not working. Literally everytfting you take for granted will be affected and most likely unavailable to you. Earthquakes occur very quickly, often without any kind of advance notice. Those who know how to respond to an earthquake will be able to move for- ward, while those who don?t know what to do will auto- matically retreat.

Most people approach changes in the economy in the same way they do earthquakes: They simply don?t prepare for them. This is the case especially after long periods of good times; people become a bit robotic and even lazy. They forget the muscle, discipline, persistence, energy, and creativity it takes to dominate. They don?t know how to act when things suddenly change, so they merely react. Most individuals, managers, and CEOs get used to doing

business in stable economies; they therefore don?t know how to respond correctly when things are difficult again.

It?s not uncommon to see people becoming overly ?reasonable? about the actions that are necessary to sus- tain themselves and their companies. And when recessions happen?as they do and always will?many salespeople, managers, entrepreneurs, executives, and CEOs find that they are ill equipped and lack the knowledge to counter those economic contractions. People have all types of very strange responses when they aren?t prepared for events. Many of the actions you take merely mirror the economic contraction whereby you actually react to the contraction with thoughts and actions that further deepen or worsen your situation. Most will handle the economic decline with further cuts, denial, or just outright apathy, while others (as mentioned previously) will refuse to participate. But reac- tions like these are the opposite of deciding to be first in your market and dominate your competition.

Date: 2016-06-12; view: 97