Why You Will Bankrupt Your Business This Recession

s a member of one of my business networkinggoing to take place in the world, with even large
groups who told me this tale when we werecorporations fighting for their very survival so think
discussing the impact of the recession on ourhow this will affect a small business. Times will be
individual businesses. This story is so relevant tohard and the only way to stay afloat is to cut costs
today’s economicdrastically”. His father listened attentively as
climate…….enjoy it.his son added, “everywhere I look, in the
There was once a barbecue restaurateur. But he waspapers, the radio and in the halls and coffee bars of
no ordinary purveyor of the humble rib for he usedmy university, the message is ‘cut cut,
only the best spare ribs from only the finest, pigs incut’. I urge you not to fall behind the trend.
the land. The fries that accompanied his famousMy advice to you is to cut costs to survive this
barbecue spare ribs were of equal quality, cut fromrecession”.
the best potatoes available and fried in the mostThe father was by now in awe of his learned son,
exclusive oil. He operated from small businessand he could not ignore advice from him, which was
premises not exactly on the restaurant strip and putso well supported by the media and the discussions
out the advertising message on his frontage proudlythat take place within a recognised seat of learning.
stating that his barbecue spare ribs were theHe drastically cut his orders of pork ribs and
“best in the world, made with only the finestpotatoes, chose a cheaper, more common frying oil,
ingredients.”did the same with the wood chips for the BBQ
As a result, his small business flourished and, in hissmoker and changed the advertising message on his
own moderate way, he was financially successful. Hediner to reflect that he no longer used the finest
had one son, his only child, and he wanted nothingingredients.
but the best for him, so, using the money earnedWithin only a few months, his business could no
from his BBQ restaurant, he sent him away tolonger support him and his family, and he sold it to a
university.BBQ restaurant franchise at a great loss and was
His son did well, enjoying being exposed to suchforced to take early retirement. He called his son to
clever people and weighty opinions, and it was sometell him of the sad news, telling him he must stay at
time before he returned home to his father during auniversity, as his son had become so clever that he
holiday. He waxed lyrical about subjects previously ofhad foretold the difficulties the recession would bring.
great mystery to the father, demonstrating hisHis final words to the educated offspring were:
newly acquired knowledge with great panache and“what a wonderful thing a university
style, and his reputation grew.education is.”
One evening, shortly before his return to university,And the moral of this story?
the son took the father aside to discuss the familyDon’t believe all that you read and take
business. “Father”, he said,control of your own destiny.
“there is talk of a great recession that is