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Had Enough of This Economic Crisis Yet?

December 9th, 2008 @ 7:04 am

4 Comments

Categories: Board Management, CEO Succession, Compensation, Corporate Governance, Economy, Finance, Hiring, Management, Opinion, Strategy, Technology

Tags: Automobile Company, S&P, News, Mortgage-backed Security, Manufacturing, Financial Accounting, Finance, Steve Tobak

I don’t know about you, but I’ve had about enough of this economic crisis. I mean, I can easily go another 10 or 20 years before another bubble bursts and another downturn ruins my fragile financial equilibrium.  

Just this evening I returned home to all this wonderful news on my My Yahoo homepage:

  • Altera, Broadcom, Fedex, and Texas Instruments joined the chorus of companies warning of lower sales and profit estimates
  • 3M, Anheuser-Busch InBev, and Dow Chemical announced layoffs
  • Tribune Company - which owns the Chicago Cubs (like I care) and a whole bunch of newspapers, cable channels and TV stations - filed for Chapter 11 bankruptcy protection
  • It looks as if the U.S. government is actually getting into the car business with a $15 billion bailout of the big three automakers
  • Merrill Lynch and Morgan Stanley aren’t paying bonuses to their top execs (OMG!)
  • Standard & Poor’s cut Motorola’s rating to junk (where were S&P and Moody’s when we needed them to cut ratings on mortgage-backed securities, huh?)

Not to mention that the credit markets are still clogged, with trillions in mortgage backed securities still out there, somewhere.

And I’m sick and tired of hearing about the big three automakers. If there’s ever been a case of business natural selection, this is it. Let nature take it’s course. Together, they can probably make about one half-decent automaker, if that.

Yeah, I know what you’re going to say. Get over it. Right?

Well, I wish I could, but I can’t. I’m a news junky. And except for the occasional F-18 fighter jet crash or periodic incompetence from Yahoo’s board, the economic and labor crisis is pretty much the news these days.

So what do you do to get by? Ignore the news? Ignore your stock portfolio? Work yourself to death? Sleep a lot? Drink? Watch a lot of football? Reality TV? Reorganize your wine cellar? All of the above?

 
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  •  
    1

    ariday82

    12/10/08 | Report as spam

    RE: Had Enough of This Economic Crisis Yet?

    I've certainly had enough! I graduated with a Master's degree in Industrial Organizational Pshychology, and I haven't been able to find a job yet. The worst part is (although it makes me feel better, somehow) that almost half of my ex-classmates haven't been able to find a job either! And some those who did find a job are in sales... door to door... with a Master's! I am really tired of this!

  •  
    2

    vrsarti

    12/10/08 | Report as spam

    RE: Had Enough of This Economic Crisis Yet?

    The Great Depression created a record number of millionaires...this economic crisis will create millionaires too...and not just the CEO's who are over paid and under perform.

    These are different times and in order to succeed people must act, think, and perform differently.

    Did you know that you can cut your job search time by 30% by properly using LinkedIn? You can cut sales cycle time by 30% if you use LinkedIn and apply the same techniques.

    It is all about getting the right introductions. If you know how to do that, there is no economic crisis.

    To Steve's point, there is no sense in watching the train wreck on Wall Street, Main Street and Side Streets. Watch that stuff and impacts your ability to get things done because it seems like the world is falling apart.

    If you are looking for a job, learn some new search techniques and use the right social networking program because it is all about introductions. Sites like Monster and Careerbuilder will give you something to do but won't be effective in helping you find a job. You have to networld and do it right.
    Watching the news won't help you network.

    If you are in sales, keep your activity level high and be sure to get motive. Anyone can sell in a good economy. A high tide raises all boats. But in this Crisis Economy, if you are a sales person, you have to do a better job of identifying, developing, and then solving a problem. If you watch the train wreck you'll just feel bad and your activity and results won't improve.

    The challenge is in the economy. The solution is in your head and your ability to learn and use the right tools.

  •  
    3

    Bob Wileman

    12/11/08 | Report as spam

    RE: Had Enough of This Economic Crisis Yet?

    Stop watching bad news
    Get fit by running to cut gym bills
    Walk or cycle to save petrol
    Plan everything carefully to save spending
    Spend more time warming up contacts
    Find out where people/companies are spending/wasting money
    Lawyers seem to be doing OK.

  •  
    4

    AbigailR

    03/28/09 | Report as spam

    RE: Had Enough of This Economic Crisis Yet?

    Economic crisis has created lots of problems. More people today become unemployed because of the massive layoff done by companies. Tough times usually mean people cut down on discretionary spending, and certain businesses like Blockbuster are feeling the pinch. Blockbuster is looking into short term loans or a possible buyout to make up for the $360 million they lost this year, as Netflix and other mail order rentals are becoming more popular. Ticketmaster, one of the largest ticket retailers, has also been taking hits as they saw a $1 billion drop in revenue. Theaters, oddly enough, haven't suffered as much as one would think, but discretionary spending from families was one of the first things to go during the recession. Naturally a firm like Blockbuster would be amongst the first to miss out.

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  • Blogger Thumbnail Steve Tobak Steve Tobak is a marketing and strategy consultant based in Silicon Valley. He's a 20-plus year high-tech industry veteran and former senior executive of a number of public and private companies. He also wrote the popular blog Train Wreck for CNET. When he's not airing corporate America's dirty laundry and helping companies solve their problems, Steve likes to play with gadgets and animals and drive his wife crazy. Find out more at Invisor.net. more »

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