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Why have so many companies been so willing to take a knife to costs and then demonstrated reluctance to go on the offensive in pursuit of growth? In previous papers, the authors have looked at companies that prospered in tough economic times. They, too, cut costs. But they also acted decisively to exploit market opportunities, recognizing that many initiatives can take months or years to reach fruition. History also shows that in the aftermath of turbulent times, the pecking orders of entire industries are changed for years to come. The reasons for being cautious are all too understandable.
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