Business in normal times can be unnerving. It’s a risk with no guarantee the gamble will pay off. From managing expenses and driving sales to hiring a talented staff and employing marketing objectives, even the most solid idea can flounder. We are not living in normal times, yet entrepreneurs and well-established businesses are continuing to expand and grow. Learn about the top five challenges that businesses face today and how they are pivoting to overcome present day issues to reap success.
If you are seeking to invest in a startup concept or an already grounded venture, these are the top external business challenges professionals are likely to face today:
1. Domestic Economic Conditions
Every country is faring differently, from business operations to vaccine rollout; the pandemic responses vary across the globe. First world countries will feel an economic bounce back much quicker and more widespread in comparison with their counterparts based upon their buying power, government intervention/expenditures, and the infrastructure in place, particularly supply change management. For example, the Maltese government, in close collaboration with the Maltese Commissioner for Revenue (CfR) and Malta Enterprise, has taken a vested stake in business development and business continuity, integral to the comprehensive measures to assist various businesses, particularly those, whose operations have come to a total standstill due to the unprecedented COVID storm.
2. Pandemic Uncertainty and Repercussions
The key to successful risk management and strategic planning in the current uncertain times is to figure out what has changed, what is yet to change, and what are the gray areas. Business leaders will need to learn to strategize carefully, and look for smart solutions based on the available insights thus far, focusing on adaptability and sustainability, whilst incorporating flexibility at the core of their ethos.
External risks such as the pandemic lockdown threatened all kinds of businesses putting their survival at stake. As an entrepreneur, improving your agile thinking and ingenuity will diminish the likelihood of your future business losses. Owners must hone robust problem-solving strategies at all levels of management, lead by example and actively inspire their teams to take a proactive approach to mitigation.
3. Employee and Benefit Costs
With the latest developments and changes in the world, our careers are constantly being reshaped, most importantly the work/life balance, as businesses try to adapt and evolve accordingly. The job market is facing a staffing shortage and businesses are digging into their pockets to add value to the roles they are offering, incentivizing candidates and employees to stay afloat.
Remote work has now become commonplace, where many employees are not ready to give up their home office life. Location-independence and safety are the two major factors all business leaders ought to address moving forward. Budget consciousness is pertinent. Navigating the fallout by implementing innovative solutions (e.g. state-of-the art online platforms and digital tools to facilitate remote working, or hiring competent talent oversees at a lesser cost) will bring balances into check.
4. Technological Advancements
Technological advancements are vast, from increased online commerce, robotic delivery systems, and digital payment systems, to distance learning, Telehealth, 3D Printing, online entertainment and much more. In today’s booming digital era, every aspect of life has evolved to meet the demand; many a byproduct of the pandemic. From healthcare to service industries, finance, and education, the digital future is now. Technological evolution has shifted into overdrive to meet the ever-changing consumer needs and keep the economies effectively moving forward.
5. Communication Barriers
Despite the latest tech innovation, basic soft skills such as effective people management, team leading, and interpersonal communication, surprisingly continue to challenge businesses today. These proficiencies are required universally, being essential for promoting efficient business practices.
To conclude, every entrepreneurial mind and business leader of tomorrow, no matter the years of professional experience, is bound to face numerous challenges. From external economic strains, money management concerns to communication barriers, business owners and industry leaders will have to deal with different problems, some never faced previously. While it may feel like a mission impossible at times, launching or scaling up a business in a post-pandemic world is in fact achievable. You must push for creativity and resilience, surmount challenges through trial and error, and implement inventive tactics to help the company thrive.