June 10th, 2008 21:08 EST
Keeping the Core: Boom Time for Entrepreneurs
These difficult economic times are opening up doors for entrepreneurs that have never been opened before. Corporate America is shedding its excess weight at a pace that we haven`t seen in years, and this shedding process will open opportunities for entrepreneurs who are sharp and who take action now.
Corporations are being forced to liquidate all operations that are not profitable. They are being forced to make tough choices and drop operations that are not only not profitable, but those which are not part of their core service or product offering.
This is an opportunity for entrepreneurs because as corporations move towards activities that are related only to their core business, these large organizations will be reaching out to entrepreneurial companies who can provide services to them on an outsourced basis. Hence, this outsourcing will fill in the gaps that are created from discharging unrelated business units.
One of my friends is a former senior executive with the Los Angles Times. He noticed such a hole that he could fill. The newspaper companies have traditionally had staffs of people who spend thousands of hours per year doing page layouts for newspapers and for their advertisers in the process of selling advertising. Because this process is very laborious, many of the newspapers are looking for ways to reduce their staff and reduce the work that they are doing for advertisers and others.
His idea was to provide this service to newspapers companies. It turns out that he was right - newspapers companies are adopting his outsourced model with great velocity, and his business is starting to take off. He first told me about this idea about a year ago, and when I saw him recently he told me that it`s going gang-busters.
These types of opportunities exist for all entrepreneurs. If there is an industry or business that you know well, you should be able to figure out what services you can provide that big companies no longer want to provide for themselves.
There is no going back. These big companies will not be in a position to run businesses that are not part of their core service offering. Take advantage of the opportunity that is in front of you right now.
So, as you are working hard every day to build your company, or as you`re building your career, make sure that you are looking for opportunities that larger companies are no longer able to handle (or no longer want to handle) because they are not related to their core business. The true entrepreneurs among us will spring up as the great winners. And you can take this prediction to the bank.
About Joel G. Block, President of Growth-Logic, Inc. Often dubbed a "Growth Architect" by his clients, Joel Block advises companies on explosive growth strategies by driving revenue and sales. Well known in the capital markets, Joel is a successful entrepreneur, speaker and advisor. To bring Joel into your company, please visit www.joelblock.com or www.growth-logic.com. Also, be sure to check out our newest project: a blog to organize the blogs that cover entrepreneurship - http://www.entrepreneur-hub.com.