I established 17 distinct companies before launching my first publicly traded enterprise nearly 13 years ago. After spending seven years observing how other real estate firms adapted to evolving markets and new realities, I identified and seized an opportunity to approach things differently. It began with a redesigned agent compensation framework and has since grown to encompass entirely virtual teams and the acquisition of entities that support our expansion, such as this magazine and the metaverse organization, Virbela.
Such advantages may not always be available to us. Amazon has a first-mover edge in the e-commerce sector, yet competitors will keep innovating as alternatives emerge. Netflix was the pioneering streaming service, which has now evolved into just one among many. Both companies enjoyed a two-decade head start before facing meaningful competition. Presently, we find ourselves 13 years into that two-decade advantage.
Whether it comes from rivals, regulatory challenges, or the ongoing market downturn, we can expect to experience pressure for the foreseeable future. As the adage goes, necessity is the mother of invention. We, alongside our competitors, will search for ways to enhance efficiency and innovate, positioning ourselves to thrive when the market stabilizes. In times of economic volatility, the mission of an organization and its leadership serves as the guiding beacon.
For us, maintaining adaptability, eagerness, humility, and readiness for growth is crucial for constructing a resilient business and succeeding across various market cycles. Here are my eight foundational principles for leading during challenging times:
1. Strive for victory.
Articulate a clear vision and mission with specific objectives for your team to unite behind.
2. Persist in learning.
The effective strategies of a few years ago may no longer be applicable today. To be a genuine learner in business, challenge your assumptions and discover new, inventive methods to achieve success.
3. Disrupt the status quo.
A complacent business is one that risks being left behind. Motivate your team to confront, question, and analyze everything.
4. Recognize the strength of your competition.
Competitive advantages tend to be short-lived. To maintain your edge, it’s critical to stay ahead of competitors and evolve your product or service before market demands dictate such changes.
5. Identify and enhance your advantages.
Pinpoint what sets your organization apart and leverage it—advantages can manifest in various forms. The key takeaway is that you don’t need to completely reinvent the wheel to stand out.
6. Balance expenses with growth initiatives.
Keep your expenditures minimal and your focus sharp. Growth requires taking risks and investing in innovation. However, excessive risks and investments can lead to overwhelming operational costs.
7. Cultivate agility for adaptation.
Agility is vital for rapidly expanding organizations. Leaders should create space for essential team members to innovate and act. This requires recognizing where they can provide significant value and where it might be best to step aside.
8. Welcome chaos as a catalyst for transformation.
Become comfortable with chaos; it is an inherent aspect of rapidly growing organizations. Identify what requires disruption to create a better system that fosters your growth.
