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5 Reasons Entrepreneurs Will Emerge From The Recession
Courtesy of SmallBizResource.com, a service of bMighty.com

by Gayle Kesten

Among this week's doom-n-gloom headlines: U.S. Economy: Leading Index Shows Extended Recession. Leading Indicators Continue to Fall. U.S. May See Double-Digit Unemployment. And the week's only half over.

Hang tight. Despite my depressing opener, you're still reading, so clearly you're holding out hope for better days ahead. At least that's my optimistic interpretation. To help keep you on that track (or to nudge you on it), the following dose of inspiration comes courtesy of Published Daily, a bright-eyed, sibling-run startup whose aim is to help professionals generate more referral business via email and social networking platforms:

#1: Entrepreneurs Are Free And Unhindered
"The upside to the massive amounts of layoffs we are seeing is that men and women who felt stuck in certain positions and afraid to go out of the box to pursue their dreams are now free -- if not forced -- to pursue their passions," says Published Daily COO Josephine Nicholas. "The economy has forced people to re-evaluate their priorities, reassess their skills, and pursue entrepreneurship without being held back by a job to which they feel tied down."

#2: Recessions Give Birth To Recession Babies
"Many of the largest companies in the United States were founded during a recession. Companies like Burger King, Hyatt, FedEx, Microsoft, and CNN -- all those companies were started by entrepreneurs during some of the toughest economic years in our country's history," says Josephine. Taking this factual data, it is safe to say that at least one of the "next big things" is sure to come from this chapter in our country's history.

#3. Entrepreneurs Instill Trust In Skeptical Consumers
According to a recent survey, 68% of executives say that large corporations make a generally or somewhat positive contribution to the public good. Yet, only 48% of consumers agree. In another widely recognized survey by Edelman, it is clear that consumer trust in businesses in general is 50% lower than last year. "These are staggering numbers," continues Josephine. "One of the main reasons that entrepreneurs start their own company is to get rid of the 'corporate America' mentally they can't stand. Most entrepreneurs work very hard to earn the trust of each individual client as they create unique solutions to the needs of the marketplace. Consumers recognize this effort and respond to it with their dollars. In an economy where consumers are extraordinarily wary of 'corporate America,' they are sure to give more business to the entrepreneurs who give them personalized attention and contribute to the public good with their creative efforts."

#4. Changing Markets Demand Innovation
According to the famous economist Joseph Schumpeter, an entrepreneur is someone who is willing and able to convert a new idea or invention into a successful innovation. "The current recession has caused a significant shift in the needs and wants of consumers across the board. In any industry, an innovative entrepreneur who identifies and addresses this shift creates an unbeatable connection with consumers," says Josephine.

#5: Boosts Local Economies
"The American Public is very community-oriented, and they band together, especially during tough times. Look anywhere throughout the U.S., and you'll see that local businesses and entrepreneurs are hailed as heroes by their communities. They provide local jobs and inspire confidence in the economy," says Josephine. "The heart of the American Dream is realized and moved forward every time an entrepreneur reaches inside, takes the risk, and creates their company. Local economies respond to that in a way that almost resembles magic."

Posted on April 22, 2009 at 1:07 PM
| Comments (3)

Comments

And entrepreneurial start-ups are much more flexible than large multinational companies or firms. They can adapted their structure to a changing market or economic much quicker and more efficiently. Definitely a time for people to come out and shine.

Posted by: Robert Rogers on April 22, 2009 at 5:42 PM

Recession gives people to think “outside the box” by exploring ways of making money. Formal employment does not give security but opportunities. Those that think ahead, start home business as a back up in case of redundancy, they have something to rely on.
This is a well researched article!

Posted by: Charles Kaluwasha on April 25, 2009 at 1:19 AM

Hi Gayle!

Here is one more;

6. We Have To.

Posted by: Joel Libava on May 12, 2009 at 8:31 AM

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