As world markets slump and worries of a global financial crisis deepen, the Bank of Canada warns that we’re on the edge of a recession. Even though we are in better shape than most other world economies to deal with it, the recession mentality has begun to settle in. Driven by fears, worries and the need for security, Canadians are already cutting spending and looking for ways to ensure their financial future.
What happens during a recession? The economy dwindles, business suffers and profits drop. We must cut corners and save our pennies because we don’t know what lies ahead.
But is it really so? Many businesses continue to thrive during a recession, so what’s the difference between those who profit from m a recession and those who suffer?
The secret is in the mind. When the economy faces a downturn and we say to ourselves, “Customers won’t buy anymore,” and “These will be tough times,” we are setting ourselves up for defeat.
Those who profit from a recession, and those who profit from a recession even more than they were profiting before believe that even during tough times their business can flourish. They believe that even during tough times people need what they have to offer and all they have to do is demonstrate the value their product or a service has, even in an uncertain economy. Even better, those businesses that thrive during such times believe that their clients need what they have even more than ever. They choose a mindset that sets them up for success instead of shooting themselves in the foot. To master the outer game of wealth and success, you have to master the inner game first.
There are numerous examples of individuals and companies who achieved greatness during tough times. During the oil embargo of the 80’s, Microsoft and Apple were born. I guarantee you that Bill Gates and Steve Jobs were not sitting around thinking, “The economy is rough, this will never work.”
It’s possible to thrive whether the economy is up or down. Those who do have literally programmed their minds for success. Instead of focusing on all the reasons why they won’t be successful, they uncover all the reasons for which they will. They develop a wealth mindset by backtracking from the result they want; they set a goal and ask themselves, “If this is my goal, how to I need to think to get their?” It’s called thinking strategically and if you want to succeed, it’s much more effective than worrying.
I have a good friend who is in the advertising industry. When the economy suffers, his sales go up! He tells his client that the best time to advertise is when the economy is uncertain, and gives them example after example as to why it’s true. As he explained to me, people stop buying advertising during such times, so prices go down. If you buy an ad at a cheaper price, you can make even greater profit when the economy improves. Also, because less ads are being bought, there is less competition so your ad is more likely to be seen. As a business you can attract and gain the loyalty of your competitor’s clientele.
He has a mindset that will lead him to success, no matter what the economy is like.
Even with the threat of a recession, we need to remember that Canada has one of the best economies in the world. With the right mindset, you can unleash your creativity and find ways to profit from the situation at hand. And herein lies the key: those who make it during tougher times are flexible. Instead of continuing to do what they have always done, they have the ability to respond to the environment. They adapt to circumstances and find ways to transform obstacles into opportunities.
Your mindset will drive your thoughts, emotions and behaviours, and your behaviours will lead to the results you produce in life. Any of the results you have produced in your life can be traced back to your mindset, the underlying thoughts, beliefs and intentions that lead to behaviours. If you don’t like the results you are producing, you first need to get back to the source of it all.
Imagine a fruit-bearing tree. This tree is your life. If you look at the fruit and you don’t like what you see, do climb up and try to change the fruit? No! You have to look to the roots. You have to make sure that what is underneath the surface is just right so that what comes out is the way you want it. So many people spend years fighting with life instead of getting to the root of what is causing problems.
I recently worked with a client (www.mindworkscoaching.net) from Boston who is self-employed. He told me that he was earning far below his worth and something was stopping him from making the kind of money he knows he is capable of. We worked at clearing out negative influences and programming in the right mindset and in only three months he increased his income by 40%… and in an economy in recession!
We cannot always control external circumstances, but we can always control our response to them, and it is our response that will determine the results we produce. How will you respond to the economic uncertainty we are facing? Will you devote your time to worrying and saving pennies, or will you find a way to benefit? Even during “tough times” people still have wants and needs. Most interesting is that peoples wants and needs change and new wants and needs develop. This is fertile ground for the seeds of opportunity.