Is there a recession on the horizon for 2023? Some economists say we are already in one and many others are predicting one for the coming year. Still, other economists point to a growing GDP. I’m not an economist and would not be foolish enough to enter my prediction. Though I do like Fortune magazine’s prediction that the economy ‘will remain weird in 2023″.
I have weathered a few downturns and have helped organizations prepare their partnering strategy to weather a challenging economy, which is, I believe, the appropriate response. Prepare. Partners are the ultimate do more with less strategy. For one thing, you get to harness the resources, talent, and technology on someone else’s balance sheet. And as we saw in the pandemic, partners are sources of innovation and new solutions that enable you to pivot very quickly to address new market realities. < See my previous blog: Finding Opportunity in Disruption.> Moreover, smart investments in partnering and alliances can position you to surge ahead of the competition when the economy recovers.
I first wrote about a partnering strategy for recession in 2004, a few years after the .dot bomb crash had decimated the tech industry and wreaked havoc on most partnering organizations. Cisco was an exception. They doubled down on their partnering strategy to meet the challenge and reaped huge rewards. Some years later in the financial meltdown of 2008, I dusted off the case study and republished it. It was still valid and true. As we anticipate what 2023 might bring, I am recycling the article again. It still resonates, even now nearly 20 years after its first publication.
Read Recession Strategy for Alliances here.
Would love to hear your thoughts on preparing for a downturn and how you pivot your partner strategy.