Stop Panicking and Plan

We are knee deep in an extremely foreboding yet exciting point in history, a perfect storm of business challenges. Although the current administration and select media are heralding the arrival of positive change, our economy is still extremely volatile and subject to many, still yet to be reconciled variables. I still believe we’re still in for some volatility. The economy will bump along the bottom for at least another 8-10 months before finding its new equilibrium. One thing we can all count on is the fact that whatever the timeline, whatever the final outcome, we are making history – creating a new paradigm. 

On its own, this financial instability is a challenge and hardship for businesses nationwide. Add to that a continued geo-political instability; terrorism, war in Afghanistan and Iraq, Middle Eastern confrontations, global warming and a growing dependence on China, and more recently, the looming threat of a world-wide pandemic and we are in a perfect storm. Some are holding their breath, frozen, at a loss for a response positive or negative. Some hold on to their standard operating procedure, some are even panicked to the point where they are preparing for the end of the world as we know it.

We, to the contrary, see tremendous opportunity, a change in market dynamics requires a shift in perspective, a change in philosophy to capitalize on newly created marketplace opportunities. In our case, it requires revisitation of past opportunities that died due to the economics of the deal at the time. We’re revisiting models based upon newly adjusted pricing given the shift in supply and demand in commercial real estate leasing markets.

Interestingly, in addition to the potential to sign new deals, we’re negotiating more favorable terms with existing landlords based upon lower current market demand. Many are receptive – better to renegotiate a lease with a well regarded long-term tenant than to be shopping around an empty space in this economy.

Lean times also present opportunities to rethink the norm. We constantly ask ourselves what we can be doing better but in tough economic times the question becomes more urgent, “what must” we be doing better in order to ensure our survival. Challenge the status quo, seeking increased efficiencies and improved operational execution. These are a few of the many opportunities we see in this environment. Being forced to re-imagine our business model creates a stronger foundation on which to build and flourish as the cycle advances – the practice of being prepared for the next inevitable downturn.

On the subject of being prepared, H1N1 illustrates how out of practice we find ourselves in the 21^st century. Technological breakthroughs paired with stunning advances in modern medicine have caused us to collectively forget natural medical disasters of our not so distant past. We’ve lost our edge, our vigilance, our ability to maintain a high level of health-related preparedness. Post 9-11, our focus on “being prepared” from a national and personal security perspective has been heightened. We’re more aware and somewhat on edge. We at Apple-Metro are using that edge to drive proactively causing us to be extremely planful and strategic as we prepare for potential wide-spread outbreaks. Preparations are being made to protect our guest base, and therefore as a result the continuity of our business as well as, and this is critical to our overall business model, our staff and their families.

Yes, we are facing a dark and ominous future but we see exciting new opportunities. We see past the storm clouds to a horizon bright with opportunity. But, in order to take advantage of this opportunity we need to maintain our optimism, our resolve to succeed and execute a well thought out and strategically laid out game plan.