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The ability to manage money competently is especially valuable quality in the conditions of financial crisis, when the purchasing power of the population is shrinking, inflation is rising, and currency exchange rates are completely unpredictable. Below are the common mistakes related to money affairs along with financial planning advice to help manage your own finances properly.
The modern market is absolutely unpredictable. And yet it lives according to strict laws. The marketers need to be known to achieve maximum results in their business - that is the main task of the marketer.
Search of staff is not an easy task. According to the departmental heads' of personnel management words, in order to find a personnel who will correspond to the relevant customer needs and requirements, it is necessary to carry out a great job.
Recession is a good opportunity to deal a deathblow to the competitors
Media prices are falling, so advertising becomes more profitable. The combination of low prices on media and weak competition gives companies the opportunity to cheaply grab market share.
Then came truly frightening times for marketing managers. How to respond? What is the optimal strategy? There are several rules of survival in the times of crisis.
Do not panic. Most marketers assume that during the crisis consumers have sharply cut their spendings. In fact, consumer spendings rarely really fall, they simply grow more slowly, not at the pace of inflation.
Cut the correct costs. To the right are the administrative costs and even reduction of volumes of manufacture. It is impossible to start saving on quality of a product or its promotion.
Reduce of advertising costs inevitably will reduce your income. This is the easiest and fastest way to cut costs, but the reckoning is inevitable. Studies have shown that firms that reduce advertising costs during a recession typically experience 20-30% decline in sales and earnings over the next two years.
Reduce of advertising costs inflicts long-term harm. By results of researches, advertising has a lasting effect on sales: it becomes obvious in up to five years after the campaign. Cutting advertising budgets is hurting business for the long term. PIMS analysis shows that companies that shorten the ads need much more time to exit the crisis than all the rest (when the economic situation begins to improve).
