IT'S CRAZY HOT - WILLIAM EASTMAN

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Meeting ID
meet.google.com/vnf-pcrz-xpf
Phone Numbers
(‪US‬)‪+1 617-675-4444‬
PIN: ‪843 040 084 2581#‬
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Introduction
One theme consistent in Season 3 is the station's becoming your CGO - Chief Growth Officer for Hire, the underlying role of the Network. All of my shows: Growth Community, Building in Front of You, Your MLM Empire, Economics for Owners, Self Managing Organization, and Creating a Consulting Business - everything centers on how to use the IBGR Network for business success. 

​Our relationship with the listening audience of entrepreneurs and owners: 

• Provide INSIGHTS that are useful
• Provide TOOLS that work
• Provide RESOURCES that saves time and money
• Make a FINANCIAL impact on the business 

That is what is meant by Looking at IBGR as your CGO - your virtual Chief Growth Officer.

LISTEN > ENGAGE > APPLY

Objectives - The WHY
As we did last week, today's show will cover two elements of the business cycle. We left off with the transition from a majority of products and services being priced at market value to becoming over valued. That happens when demand for something exceeds its availability or in economist speak a lot of money pursuing fewer goods. This imbalance of more demand than supply is the signal for suppliers to make more and new players joining the party. Soon it will become a free for all. It is fun while it lasts, and last it won't.

Because of the lag and unavailability of perfect information there will always be distortions in the market. The suppliers will read increasing demand as a signal to make more because of the rising prices and this will be true until it isn't. What compounds the problem is government intervention in the market will further distort it. This will not be a serious as it's intervention during the downturn.

Key Issues - Owner Perspective:

1. What signals should I pay attention to understand where we are and what is next?
2. Based on that information, what are the best moves for my business?

What You Need to Know - The WHAT​
Midpoint – True Value = Market Price
Supply Equals Demand with Rising Inventories and Fair Price. This location shows expansion has reached stasis – Demand and Supply are in rough balance, the current market price for a product or service represents fair value. Up to now the price / value proposition was unbalanced with products and services undervalued or not commanding a price that represents true value because of excess supply. However that is changing. Quickly Demand will Exceed Supply and drive up prices. This leads to inflation and diminished buying power of the currency. Additionally the market begins its bubble phase because the higher prices will be interpreted as a signal to make more and soon supply will exceed demand.

• Step 3 Euphoria. Good times are here again. Everybody has a short memory of the last time, but you know the bubble has started. If you got in early at Steps 1 & 2, now it is time to prepare the company for the downside by taking advantage of the common euphoria by expanding business with your existing accounts with a new product or service.

At The Top – True Value < Market Price
Supply Exceeds Demand with Excess Inventories and Inflated Price. This is the opposite of absolute bottom, the economic cycle has reached its peak and now the weight of the wave exceeds its ability to maintain momentum. All the signs are there, soaring prices, inflated money, easy credit, expanding inventories, and many new competitors – the wise realize the party is about to be over – the bubble is about to burst. As a business owner it is time to leave the table, cash in your chips, and get ready for heavy seas.

• Step 4 Distress. The smart are out and already conserving cash. They are cleaning up their credit accounts with their investors, creditors, and suppliers. Everybody else is reacting to what was obvious but they have no plans for surviving the upcoming winter. While they are wondering what to do next, the smart are ensuring seed for the next season is saved because the contraction will end and those ready to act early will benefit the most in the next expansion.

What You Need to Do​​ - The HOW

1. Step 3 Euphoria: YOUR MOVE - Meet Demand and Expand into Current Markets with a New Offer.
2. Step 4 Distress: YOUR MOVE – Focus on Cash Flow Management, Lean Up the Organization by Reducing Fixed Costs.

We are your single, one stop source for business success, period, end of story.

1. ​Listen to the Economics for Owners Series 
2. JOIN the Community of Commerce - A Network of Entrepreneurs for Entrepreneurs
3. Show Up Next week

Make sure you leave some thoughts in the comment section below. I am interested in continuing the conversation.

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