Jobs! Jobs! Jobs!

My daughter has a part time job in Savannah where she is attending college. The owner announced he was closing the store this quarter. Skype’ing with her this weekend and I asked “What would you do differently if you owned the store?” Her response was “The location is terrible, clear out inventory that has been sitting for a year or more, bring in offerings that tourists will buy and don’t let family members come in and take the top-selling products home.”

What makes this so notable to me is that she is an art history major never having expressed a business idea in her life! You don’t have to have an MBA or a business degree to offer some good insight. The point is there are now five jobs that will be eliminated soon unnecessarily!

Right now the National Debate is how to stimulate the economy to create jobs. Can the Nation afford it? If small and medium sized business owners and managers can not make better decisions than the ones my art history daughter identified, then maybe we are focused on the wrong question.Is it possible that the economy and easy credit policy prior to the recession allowed business owners to operate longer than they would otherwise? Are we seeing an unwinding of the excess of marginal businesses that will exacerbate the employment trends in the U.S.?

If there was a job plan today creating 100,000 jobs per month, yet 20,000 businesses go under with an average of 5 employees, then we have made no progress. Twenty thousand businesses going under each month sounds unbelievable. Think about it this way. That means 400 businesses per State going under each month. In the State of Florida, that is an average of a little more than 6 per county each month. Does that sound so unbelievable now?

Should we be focused more on creating opportunities for new and existing businesses, educating business owners and providing credit to those who will seize the opportunities? And less on the current debate?


About Consulting With Results
Experienced Consultant focused on delivering results across various industries, and throughout the value chain.

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