10 Benefits of a Recession

Good list. Thanks. Re: #3, the competition is best thinned out when you force the issue. It’s win or be thinned out there. The best creativity (#1) will target winning the market share skirmishes, not prettying up the bunkers or polishing the core competencies.

Michael,

This may be your very best blog ever! I wish they would begin the 6 PM network news on all the major networks with your 10 points as well as have them publsihed on the front page of The Wall Street Journal and The New York Times. Finding positives in difficult times is what hope and faith are all about. Thank you for giving us all some inspiration for these difficult times. God is good. Life is good.

How about: It causes us to rely on God rather than people or our nation to supply our needs? We can always find someone in a worse situation than we. Usually, bad times bring out the goodness in good people’s hearts

Michael I love your thinking and modifed your recient “Commitments to Barak Obama” to a letter sent out to all my staff and friends. In recient times we have been convinced we need to run toward conflict, disaster, turbulence, war and hard times because we will find spiritual openness to be greater in times of difficulty. We are praying that these times may lead to spiritual harvest times and times of acclerated discipleship and church planting. May the spiritual wisdom expressed by some of your readers in their comments be true in our nation.

Michael I love your thinking and modifed your recient "Commitments to Barak Obama" to a letter sent out to all my staff and friends. In recient times we have been convinced we need to run toward conflict, disaster, turbulence, war and hard times because we will find spiritual openness to be greater in times of difficulty. We are praying that these times may lead to spiritual harvest times and times of acclerated discipleship and church planting. May the spiritual wisdom expressed by some of your readers in their comments be true in our nation.

Michael Crosby wrote a book called "Thank God Ahead of Time" (a biography of Brother Solanus Casey); those five words are an excellent way to greet the arrival of difficult times.

Mike has since published "Finding Francis, Following Christ" (a biography of Saint Francis) and "The Paradox of Power: From Campassion to Control."

It Causes you to re-evaluate your priorities. I guess that would sort of fit into #2, but more specific. I’m finding that I have to really evaluate what I need and want. I’m also having to alter my ways of doing thing… for example coming up with better ways to shop responsibly. I have always had a lot and for the first time am having to learn how to live with little. Quite stretching to say the least…. but I know it is good for me. God is teaching me a lot.

We should look on both sides of the shield no matter what has happened.

A recession is the perfect time to do a start-up. Good help is around and available at a reasonable cost. If you get something interesting going — which usually takes about two or three years — your timing is perfect for the upturn. You’re locked and loaded for growth, maybe even an IPO…

Sweet are the uses of adversity . . . and this our life exempt from public haunt finds tongues in trees, books in the running brooks, sermons in stones and good in every thing.
—William Shakespeare [AS YOU LIKE IT]

This is a good post. I think I see these items in the life of my grandparents who lived through the depression. Someone also said, “Anything that causes us to pray more or be more dependent on God is a good thing.” I don’t know that I embrace that fully, but I understand the concept.

I’m looking forward to the lessons learned. This post actually helps me with my Sunday message. Thanks.
Ron Edmondson
http://www.ronedmondson.com

Michael, this is a wonderful post. And I’m happy to see so many posters with positive attitudes. Thank you,
Kimmi

I love this list (and all the add-ins from everyone else)! It’s nice to be reminded that there is a silver lining and things can only go up once they hit rock bottom.

I do have to say, however, for those of us who lost jobs due to the economy – the competition to find a new source of income hasn’t “thinned out.” But thankfully, God is the provider – not the job. :)

Well in this housing lead recession the worst may be yet too come I think. Income versus Home prices are way out of whack and many believe, as do I, that homes prices nationally will need to drop another 20% before hitting bottom.

Great list, Michael. I just wrote an article about the benefits of a recession being the same as those of a forest fire, and referenced this list for added-value.

http://www.thedailyanchor.com/2009/01/28/the-benefits-of-a-recession/

I agree I think people tend to slack off when times are good and cab be surprised at all the stuff they could be doing to increase business.

So what do we think the benefits are?

1. Growing in a declining market costs much less. Growing is horrifically expensive. More stock, more cash, more space, more staff. It eats money. Do it when the market is down and you can grow share with out the spend.

2. The competition became distracted. Some competitors cut back, reducing range and staff. That gave us opportunities.

3. We learnt to focus on the best customers. One of the first things to happen was poorly managed customers going bust. It has really tightened credit control and our views on who are the best people we want to work with.

4. We treat things with more respect. From forklifts in the warehouse, to the chairs and computers, people have started to feel respect for things. Everything is less disposable.

5. We learnt to look for value again. We have re-pitched all main items of expenditure, not necessarily giving the business to the cheapest, but the best.

6. We have slowed down and thought more.

I lead a support group for unemployed people at our church, and the big benefit I see is the inner renewal of so many people.
Some reinvent themselves, some learn new skills, but all of us have benefited by the introspection and subsequent re-dedication to the pursuit of our long-held values.

Our country had been so much affected by this Economic Recession. there are lots of job cuts and company shutdowns. We are seeing some signs of economic recovery right now and we hope that it would continue.
*****

I think it helps us to realize how much we waste our money. We didn't value it before because it was flowing freely. We can live on so much less and still be happy. Maybe when we get out of this mess we will find ways to do more with our excess.

It trims off the fat and forces you to get to the necessities which is often needed. I would rather dress something up then make it simple. But because of all the financial struggles it forces me to be creative.

These recession “benefits” are available at any time, during any economy. The recession cost me $140,000 in real cash. Though I’m in a better place than when the recession started, it still hurts and was almost a cost that I couldn’t bear.

It makes you use everything you own to their greatest potential. Since you don’t take the purchase so lightly, you don’t take it for granted any longer, and you find out every way possible it can be used.