For the third month in a row, the Blue Chip Economic survey downgraded the 2010 forecast for US growth. Reuters reports GDP growth for 2010 is expected to be about 2 ¾% and the report goes on to suggest that growth is not expected to pick up until Q3 of 2011.
So what is a CEO to do? I think you have five options for growth:
- Exit Markets
- Minimize Costs
- Do Nothing.
There is no silver bullet for today’s economic environment, but I think it makes sense to be exploring your options around all five of these and start planning for what to execute now, tomorrow and next year.
Too many CEO’s are focused on doing Nothing for now. One told me, “I’m waiting on the sidelines for a better market.” That makes sense, but what is your plan if this economy lingers longer than expected? It already has lasted far longer than predicted and it has worn out its welcome. Conversely what happens if the economy starts chugging along sooner than expected? Are you ready?
While you may want to sit on the bench, you might want to have a game plan for when the coach calls you into the game. You might also be surprised at what you can achieve with your four other options – your competitors are looking at them too.