Management Magnified: Strategies for Revenue Growth in an Economic Downturn
Source: Economist Intelligence Unit
At first glance, the global economic crisis, which began in the US financial sector, does not seem propitious for growth. Indeed, a survey on decision-making conducted by the Economist Intelligence Unit in May 2009 indicates that as demand for products and services dropped, a majority of companies cut spending and focused on efficiency. Investment in new markets and products - prerequisites to organic growth - took a back seat to cost reductions. Mergers and acquisitions - another avenue to growth - also fell, as funds dried up and companies became reluctant to borrow.