Edition 203 – New Year: New Decade
Happy New Year! Here’s to a prosperous, exciting and well balanced 2020 – and a decade of evolution, growth and doing more of what you want to do with your life, through your family business.
As I look forward into 2020, here’s my predictions:
- Without a major infrastructure spend from the Federal Government, the economy will stall.
- The pressure will build to break up the big 4 banks.
- The move towards labour hire, rather than employed labour, will continue to grow.
- Large corporations, and their poor business practices towards their small business suppliers, will be exposed for the unethical behaviour it represents.
- As traditional retail fights against the online merchant, the price of commercial real estate in the retail space will be questioned.
- Climate awareness amongst businesses will increase, and in some instances, will be a factor in winning, or not winning, new contracts.
- Governments will move away from procuring services with facilities maintenance organisations and will develop online portals to seek submissions from businesses of all shapes, sizes and locations.
- Data security will present significant issues – and most family businesses are completely unprepared for a data breach.
- Congestion in our major cities will, if not seriously addressed, lead to parties losing government at all levels. It is becoming too great a societal and economic cost.
- There will be a correction to the stupid share prices for companies in the IT and associated new commerce space. If it can’t turn a profit, it has no value.
- Industry Super Funds will come under pressure to invest directly in businesses that, without that investment, may be sold overseas. This will be especially the case in the food space.
Each of these could have interesting and challenging ramifications for family business. All of them represent opportunities, if you see them for what they are – a window into a 2020 that will reward those family businesses that:
- Are agile.
- Take calculated risks.
- Are on top of their numbers.
- Develop close relationships with suppliers, customers, employees and bankers.
- Continue to look ahead, rather than focus purely on today.
May 2020 present you and your family business with all of the opportunities that you seek out – and be rewarded handsomely for.
This Week’s Tip
Opportunity is the vision of the entrepreneur. Make 2020 your year of opportunity.