There can be some good news, however, in this time of crisis.
Business executives can learn some valuable lessons during an economic downturn.
It is a good opportunity to refocus the business and learn how to make effective corrections. When they lose a major account or venture capital money evaporates, companies delude themselves that expenses can be kept the same and that they can keep their employees on the payroll. Companies are afraid to cut expenses and jobs because they rationalize that everything is going to be the same and they want to avoid disappointing their employees. When there is a huge threat to the revenue-generating machine of the company, management needs to change its focus on how to do business. By believing the problems will fix themselves, the managers are merely stalling.