Looking to launch your Startup? Now may be the perfect time!

Deciding when to launch your company is one of the most difficult judgements to time as the economic market is always in flux (Greathouse, 2020). Most financial analysts and economists predict a global recession is right on our heels as most of the world is shutting down their operations due to the current health pandemic (Goldin, 2020; Cox, 2020). Many companies have production shortages as well as the inability to travel freely, all things that disrupt normal business operations (Goldin, 2020). Though, it may be some time before we can speak to the full impact the pandemic has on the world, many companies are looking to take advantage of this critical time (Cox, 2020).

Despite the financial downturn, it is actually a somewhat lucrative time to launch your newest venture (Greathouse, 2020). One reason many startups succeed during this time of uncertainty is that difficult times bond groups of people together through the struggles, promoting team loyalty (Greathouse, 2020). “As such, a startup team that faces a variety of rigors, before is succeeds, is likely to have a high group affinity and a resulting low turnover rate” (Greathouse, 2020, para. 12).

As an example of lucrative startups, both AirBnB and Uber were launched in 2008, following the great financial crisis that left many people unemployed or looking for their first job (Cimaglia, 2020). By taking advantage of market disruptions, startups have a unique opportunity to tap into consumer behavior and changing the way they purchase goods or book reservations (Cimaglia, 2020; Sethi, 2020). Given the epidemic we currently are facing, many consumers are already forced into to changing a variety of behaviors leaving open voids for smart marketing and startups to thrive (Sethi, 2020). 

Leave me some examples in the comments of different companies that you have seen thrive in this disruption! Can’t wait to see what y’all come up with!

References

Cimaglia, M. (2020, March 11). For Savvy Entrepreneurs, an Economic Downturn Creates Opportunity. Entrepreneur. Retrieved from https://www.entrepreneur.com/article/347323

Cox, J. (2020, March 11). Economist Alan Blinder says the US is probably already in recession. CNBC. Retrieved from https://www.cnbc.com/2020/03/11/economist-alan-blinder-says-the-us-is-probably-already-in-recession.html

Golding, I. (2020, March 12). Just How Bad Could A Coronavirus Recession Get? The New York Times. Retrieved from https://www.nytimes.com/2020/03/12/opinion/coronavirus-economy.html

Greenhouse, J. (2020, March 11). Recessions Coming? 10 Reasons To Start A Company In A Downturn. Forbes. Retrieved from https://www.forbes.com/sites/johngreathouse/2020/03/11/coronavirus-recession-no-worries10-reasons-to-start-a-company-now/#73cf46f22fa9

Sethi, A. (2020, February). Applying behavioral science to the coronavirus outbreak: Four key implications for brands. Downloaded from WARC: https://www.warc.com/Welcome