Category: Business

3 Steps To Begin Your Innovation Journey

On By Joe DeRosaIn BusinessLeave a comment

innovation

Regardless of how long you’ve been in business selling what you sell, STOP! Step back. Look at the market. I mean really look at the market. If you want to do more than survive you need to innovate. Innovation requires you to think differently. To be open-minded, honest, and critical of your current operation. I am not suggesting to be negative, but rather to be realistic and honest about what has changed around you. Take these 3 steps to begin your journey of innovation.

1. Complete a SWOT analysis. This is a detailed look at your Strengths, Weaknesses, Opportunities, and Threats.  A SWOT can help provide much needed insight into your next steps. This exercise will force an outside-in view of the market.
2. Create a customer advisory board. Always an odd number of members, a small advisory board of between 5 and 7 customers can provide clear and honest feedback relative to your current products or services, as well as a great testing ground for new ideas. Make sure each member signs an NDA binding them to confidentiality of the information the board discusses.
3. Get a mentor. In an earlier blog titled Great Mentors – The Difference Maker, I talked about the purpose and importance of having a mentor. To be truly innovative requires a different level of thinking. Innovation tests previously held beliefs. In doing so, you will need someone to guide your thinking and keep you honest. Human nature is such that we tend to develop explanations for things we don’t understand or agree with…simply to make us feel better. A great mentor will make sure you face the truth even if it hurts.

Remember, to remain static is to lose ground. You’ve got to have the courage to try, and fail. Push your limits, test your boundaries. As Theodore Roosevelt said, “Far better is it to dare mighty things, to win glorious triumphs, even though checkered by failure…than to rank with those poor spirits who neither enjoy or suffer much, because they live in a gray twilight that knows not victory nor defeat.

The Marketing Mix Has Changed

On By Joe DeRosaIn Business, Marketing2 Comments

Marketing

For those of us that have studied Marketing on our own or in college, we learned of the 4 P’s, either in a book, or in our first marketing class.  The idea of the 4 P’s was founded in 1960 by E. Jerome McCarthy, a marketing professor at Michigan State University. Professor McCarthy created what became known as the “marketing mix” which contained four specific elements including: Product, Price, Place, Promotion.

Every business has to decide what Product it will sell.  Features, benefits, and functionality must be defined. Once complete, the business moves to the next P which is the Price of the product (or service). Most times, the price is dictated by how much the business owner wishes to make…profit.   After pricing is complete the owner decides where he/she will sell their product – the Place. Traditional approaches assume that the bigger the city the better the opportunity. And so businesses take their product, and their price and head toward the cities with the largest populations assuming success. Finally, the owner makes the decision on how to best Promote, advertise or communicate their product to the marketplace.

Many business schools and books still tout the 4P’s of the marketing mix with little change. Unfortunately Marketing students end up with a very elementary view of the subject, not fully comprehending the seismic shift in the role and importance of this crucial business function. So what’s changed?

Perhaps the biggest change in the marketing mix is the arrival of 2 new P’s;  Person and Proof.

For years products and services were developed based upon an inside-out view…what the business felt was needed in the market. Little concern was given to what the market was lacking, needing, desiring. Build it and they will come, was the general sentiment.  However, companies like Apple, Samsung, Wegmans, Southwest, and Google came along and turned this belief on it’s head by focusing heavily on the Person. They looked at the market to determine what was there and what was missing. They listened closely to consumers to understand what they wanted. Instead of slamming a square peg in a round hole they changed the shape of the hole and in many cases created a custom fit, which has lead to an era of innovation.

Complimenting the Person was the arrival of Proof…or data.  Marketing automation systems, metrics, and dashboards have all contributed to marketing’s evolution as a profit center versus a cost center.  Data drives proof or disproof of the effectiveness of actions or activities.  Blending these two new P’s with the traditional P’s in the marketing mix allows marketing practitioners to create strategies and tactics that yield predictable and consistent results.

Two resources that offer great insights into the importance of these new P’s include:  What The Customer Wants You To Know by Ram Charan and Hubspots 120 Awesome Marketing Stats, Charts and Graphs.

Great Mentors. The Difference Maker.

On By Joe DeRosaIn Business, LeadershipLeave a comment

partner

In my previous blog, 5 Important Differences Between a Coach and a Mentor, I provided clear differentiation between these two advisers. Both play a valuable role in your development but go about it in entirely different ways. Understanding your current circumstances and having semi-clear objectives – goals – is critical in knowing which, a coach or mentor, would provide the greatest value.

While most coaches tend to have very specific areas of expertise, mentors are completely opposite. Mentors bring a broad set of skills, perspectives, insights and opinions to your developmental party. If you are fortunate enough to have a real mentor in your life consider yourself blessed…and lucky…for they’re not all that common. Remember, you select a coach, a mentor selects you. Great mentors can come from a variety of areas in your life. A relative, a friend, co-worker, boss, or business associate can all be potential mentors. What are the ingredients that make a great mentor?

  1. Deep life experiences. These experiences do not need to be in the area of your specific profession. The mentor has been in and around many different situations that have provided them with incredible insight and perspective.
  2. Demonstrates a personal interest in you. The mentor takes a proactive role in wanting to help you by providing valuable feedback, and guidance. Often times they proactively reach out to check in with you rather than waiting for your call.
  3. Excited and passionate about your development. The mentor never makes you feel like you’re on the clock. Instead they make you feel like they exist specifically to help you. Their energy and authenticity is tangible and easily recognized.
  4. Honest in a positive and constructive way. The mentor provides hard-hitting, honest feedback and observations, but does so in a way that doesn’t put you on the defense, or belittles you.
  5. Teacher, Coach, Counselor, Motivator all rolled into one. The mentor has a natural ability to weave in and out of these roles effortlessly with a near “cloak of invisibility” as they do so. Their deep understanding of you allows them to take the role most effective for the situation at hand, with the genuine intent to aid in your development, while never lecturing or criticizing.
  6. Trust. The single most important ingredient for any great mentoring relationship is trust. A strong, trusting relationship with a mentor creates the bond that is necessary for free-flowing, honest, personal, and sometimes difficult feedback without the fear of embarrassment or intimidation.

Great mentors do all these things and more. Having the benefit of a mentor gives you the ability to make better decisions, broadens your perspectives, and often times provides the clarity you need to move forward. These unique and wonderful people grace us with their active presence in our lives, teach us in ways others can’t, and provide us with the strength we need during life’s most crucial moments. Great mentors are in fact the difference makers in a life full of success and personal fulfillment.

5 Important Differences Between a Coach and a Mentor

On By Joe DeRosaIn Business, LeadershipLeave a comment

Helping-Mentor

Throughout your career, you will encounter moments that will present great challenges and/or opportunities.  Knowing what to do at those specific times depends on several things including experience, attitude, skills and capabilities, and the strength of your personal support network.    As you grow personally and professionally, the complexity of these circumstances increases and may create anxiety as you determine your next steps.  And while this is perfectly normal from a developmental standpoint, having a coach or a mentor by your side can make a huge difference in the quality of outcomes.  Understanding the difference between the two is the first step to making the right selection.

Many people believe mentors and coaches are the same…interchangeable terms.  But they’re not.  Mentors are quite different from coaches.  The key differences between the two are listed below:

  1. You select a coach, a mentor selects you.  As such, mentor relationships tend to last for years, if not a lifetime.  By the mentor selecting you, he or she is demonstrating their personal commitment and genuine desire to help with your personal development.
  2. Coaches focus on improving specific performance, usually on the job, while a mentor focuses on your overall development with a much greater focus on you, the person.
  3. Coaches interact through a formal structure, usually the same day and time each week – office hours.  The session follows a certain flow or formula for the review and update on the items discussed in your last meeting.  A mentor interacts as needed.  They’re “on-call” and happy to be so.  Less formal in nature, free-flowing, and very personal.
  4. Coaches tend to be “career-point-in-time” resources.  Meaning, few coaches can provide value in all stages of someones career.  A great high school football coach does not automatically equate to a great NFL coach simply because he understands the game of football.  As the stakes grow higher in your career, you will need to find a coach whose skills are equally equipped for the circumstances you are encountering.  The coach you had when you were 35, and in your first senior manager role, most likely will not be as effective for you when you are 45 in an executive role.  In contrast, a mentor is always focused on the “broad YOU”, gathering deep and intimate knowledge of the real you, thereby allowing them to provide valuable insights and guidance in nearly any circumstance.
  5. Finally, and perhaps the biggest difference between a coach and mentor is how they are paid.  Coaches, at least professional coaches, charge a fee for their service.  These fees range anywhere from a few hundred dollars per session into the thousands depending upon the circumstances, and length and frequency of the engagement.  A mentor has no fee.  They’ve taken you under their wing.  They have a personal connection with you and are committed to your development and success.

It’s important to understand that while different, there is a need to have both a coach and mentor in your life.  Both play very different, yet important roles in your personal and professional development.  Having a general understanding of your circumstance, time frame, and objectives will help guide your decision on selecting the right coach or mentor.  I will visit specific benefits of coaches and mentors in upcoming blogs.

4 Simple Ways To Stay Informed

On By Joe DeRosaIn BusinessLeave a comment

overload

Unmanageable.  That’s the word that comes to mind when you think about the volume of information flowing 24/7 at break-neck speeds every day.  Your customers, competitors, employees, and partners, are all struggling with the same challenge.  There is simply too much information to get your arms around.  How do you find the time to reign it all in and still be able to do your job…and live your life?  The secret is technology.

The same vehicle that has created this avalanche of information is also the same vehicle that can help you sort, sift, and manage what’s important to you on a daily basis.  By picking up these apps you can customize the topics you find of interest as well as those topics you need to effectively perform your job.

  1. Zite, Flipboard, Pulse.  These are news apps that you can customize with key words or topics that are of interest to you.  Using those words or phrases these apps go out into the web and search for articles that are a match for the topics you created.  They each have their strengths and weaknesses which are mostly in the eye of the beholder.  Zite uses a lot of white space while Flipboard and Pulse fill the pages with big picture blocks.  Zite and Flipboard allow you to integrate your other social networks while Pulse does not.  For content, Zite is king.  It applies great intelligence as it looks for content it “thinks” you may be interested in based upon your profile.
  2. Google Alerts.  You can create alerts which are sent via “Push” to your desktop, laptop or any smart device.  Setting up alerts for “small business”, or “Apple”, result in a push notification any time Google sees those words used in the news on the internet.  You can set alerts for virtually any topic, company, or person you want to follow.
  3. Twitter.  It’s not enough to have a Twitter account.  To maximize Twitter you need to be following the right Twitter users or “Tweeple“.  Of course “right”, depends 100% on you and your interests.  I personally find great value in following:  Forbes, Hubspot, SiriusDecisions, Harvard Biz Review, CMO.com, and American Express’ Open Forum.  Each of these contributors provides great perspective that is relevant to my interests.
  4. LinkedIn.  Today’s conventional thinking suggests that even college students should establish a LinkedIn profile.  Executives should have at least 500 contacts in their network, as well as membership in at least 6 groups.  There is virtually a LinkedIn group for any topic or interest you may have.  Connecting with the right groups and participating in discussions within those groups will help keep you informed while building your credibility as a thought leader.

Lastly, it is important you set a specific time each day dedicated to your personal “information gathering and education” sessions.  Getting in the habit of setting a set time each day for you to monitor the news that is most important to YOU is another way to control the flow of information and help you stay informed easily and effectively.

7 Traits of a Great Boss. Do you have one?

On By Joe DeRosaIn Business, UncategorizedLeave a comment

bad-bossIn the movie Horrible Bosses, Jason Bateman, Charlie Day, and Jason Sudeikis find themselves working for truly horrible people.  The movie, a fictional story, offers some very funny moments as these 3 employees ponder ways to be rid of their bosses.

Let’s face it we’ve all been there.  We’ve all worked for someone less than honorable, less than respectful, or less than human!  Unfortunately these bosses are everywhere.  Finding a great boss is no easy task.   It starts with you having a clear understanding of what attributes or traits your ideal boss would possess.  If your definition is incomplete, or worse, not formed at all, you will find it nearly impossible to end up with a great boss except by a total stroke of luck.

So what makes a great boss great?  Focus on the 7 traits below as you assess your current boss to decide just how great they are…or aren’t.

  1. Intellect.  I’m not talking about their GPA or MBA.  I’m referring to their ability to absorb information, assimilate it, and apply it to the work at hand.  Are they broad thinkers?  Do they have opinions that they can defend or support with data, healthy debate, or other validation points?
  2. Common Sense.  Does your boss make decisions solely based on data or can he augment his decisions by infusing common sense?  Great bosses (leaders) can look at the data at hand but use common sense to make quality decisions.  I suppose the folks at Coca-Cola had data suggesting people wanted a different tasting Coke which in turn led to the launch of “New Coke“.  It was a colossal failure and one that Coca-Cola had to walk back quickly.   Common sense could have save millions in wasted resources.
  3. Intuition.  What is your bosses background?  Have they been around or is this their first rodeo?  Intuition, unlike instinct, is formed through experience and thoughts as opposed to those things that tie back to our DNA over tens of thousands of years.  Intuition suggests an evolution or development.  Great bosses have strong intuition as to their decisions and direction.
  4. Humility.  Who wants to work for a glory hound?  Someone always seeking the attention and limelight.  A boss that operates with arrogance and egotism will always act to ensure their own personal status and self-preservation.  Often times a boss who is not humble creates a work environment that is overly aggressive and can border on hostile.
  5. Vision.  People want to follow a leader.  But people will only follow if they believe in the direction you are heading and embrace that direction.  Great bosses provide their employees with a strong vision as to where they are headed, why, and what it looks like when they get there.  Jonathan Swift said, “Vision is the art of seeing what is invisible to others.”
  6. Gracious.  How kind and courteous is your boss?  Does she say good morning when you come in?  Does he thank you for the work you’ve done?  Is she giving of her time when you need help, or do you feel the clock is always ticking?  Great bosses are kind, courteous and generous.  This does not mean they are soft or weak, but fair and gracious.
  7. Humor.  When was the last time you laughed at work?  Better yet, when was the last time you laughed in a meeting at work or just in talking with your boss.  Great bosses have good senses of humor.  They’re not simply jokers or pranksters but possess and overall good sense of humor.  Having the ability to laugh at work is the difference between a productive workforce and one that’s burned out.

If your boss has all 7 of these traits then you have found yourself a pretty great boss.  No one is perfect but it’s those that are still comfortable and confident with their imperfections, skills and critical talents that make for a great boss.

No Promotion, Now What? Ask Yourself These 4 Questions.

On By Joe DeRosaIn BusinessLeave a comment

no-self-promotion

It’s been a grind for months.  You’ve been working 12 – 13 hour days and weekends to prove you can do it and do it well.  All eyes are on you.  The project you’re in charge of is critical to your company’s future success.  It’s a big deal.  You complete the project and sit back ready to be showered with accolades and compliments by your boss and your peers.  Deep down you know this will be your defining moment…your own personal Mozart Concerto.  You wait…wait a bit longer…still longer…and nothing.

Wow!  What happened.  Your finished work was unbelievable.  You peers and other industry partners even commented on your end result.  Your boss seemed pleased along the way but hasn’t shown any real celebratory emotion.  Of course after all, aren’t you expected to deliver high-quality, near-perfect work?  This scenario is not atypical, but in actuality very common.

So what do you do when you hit this wall?  What actions should you take when the work you thought would seal a promotion turns out to do little more than generate a brief passing smile in a hallway at the office?  Do you quit?  Leave?  Complain?  Ask these 4 questions to help you determine your next course of action.

  1. Why did I expect to be promoted in the first place?  Perhaps you assumed that by delivering an amazing performance you’d somehow get that big title or bigger paycheck.  You may have even believed that your boss would just create a brand new position for you with the big title.  Maybe in a prior conversation your boss alluded to “big things” for those who step up and deliver a solid performance.  If the reason you expected your work to result in a promotion doesn’t contain a “this for that” in your explanation then you yourself have set yourself up for disappointment.  Learning:  If you take on a project, job, initiative that you expect will lead to advancement, be clear with your boss up front about this and get their reaction and their commitment before starting.
  2. What can I do to improve my performance?  This is a tough question to ask.  Most of us believe we’re already doing all the right things.  We sometimes confuse hard work with smart work.  High performers are constantly learning, constantly seeking knowledge, new ideas, perspectives, etc.  Focus always, on improving yourself first.  Personal development should never be weighed against a promotion.  Learning:  Adopt the attitude that you will be the best at your craft regardless of what happens in your work environment.  Even if you don’t get that promotion you can still have confidence in your ability to produce great results. And ultimately those results will be recognized even if by another employer.
  3. Is my boss my advocate?  Does your boss share success or does he take all the glory?  What happens when things go bad?  Are you hung out to dry or is your boss there to absorb a “team loss”?  Does she create situations that allow you to shine and be recognized?  Has he taken the time to introduce you to his boss to create an opportunity for interaction?  Learning:  A boss that lacks confidence or self-esteem will always be a barrier to your progress.  If you find yourself working for a boss that fits this profile…and progression is important to you…you may need to move on.
  4. What do my peers think of me?  This is perhaps the most overlooked area when dealing with promotions or lack of.  Many organizations have implemented performance programs that gather feedback from your peers to include in your annual performance review.  The ever-popular “360” became all the rage in the early 2000’s and still exists today with some variations.  A poor relationship, rapport, or perception of you with your co-workers can kill your career aspirations as quickly as those of a bad boss.  Learning:  Put yourself out there.  Build relationships with your peers as well as those above and below in the organization.  Most companies today place great value on workers who are proficient in influencing, bridge building and negotiating.

Especially in times when the outcome did not match your expectations, self-reflection is critical.  Taking an honest look inside will always help bring perspective to each and every experience you encounter.  Thomas Paine said, “The real man smiles in trouble, gathers strength from distress, and grows brave by reflection.”  Basically know…it’s okay to talk to yourself.

Be remarkable. PERIOD!

On By Joe DeRosaIn Business, LeadershipLeave a comment

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If you want to stand out you’ve got to be different. Right? Well that depends. Sometimes being different is good. But sometimes, being different can generate bad results. It depends on what you’re trying to accomplish.

We learn at an early age to conform. Be like others, dress like others, act like others. Doing these things allows us to “fit in” to society. It makes us feel safe. But at the same time it makes us invisible. We desperately want to be one the pack, one of the herd so to speak.

In business we’re taught early in our career to play it safe. Keep our ideas to ourselves, agree with our boss no matter what, and never challenge your peer group. Doing those things will provide safety and job security. It also produces mediocre results. So what do you want to be known for? Results that produce “me-too” outcomes or work that’s viewed as thought provoking and innovative? If you want the latter you’ve got to be remarkable – there’s no other way.

In Seth Godin’s book, Purple Cow, he talks about the power of being remarkable. Being a me-too leads to being invisible…not seen…not considered. Being remarkable means the complete opposite. You’re seen, you’re heard, you’re felt…you’re present. All the things most folks want in life. These are the things that fulfill most human beings. Yet to be remarkable carries risk. It requires us to be more than different, to stand out, to be talked about.

If you still fear standing out consider these examples of me-too solutions…and how they are viewed:
1. Microsoft’s launch of Zune – an average MP3 player
2. Dell, HP, Compaq, Gateway…all me-too solutions to desktops and technology
3. McDonalds, Burger King and Wendy’s – typical, predictable burger places
4. Kroger’s, Winn Dixie, Tops Supermarkets…sterile environments to shop in

Now look at some examples of remarkable:
1. Apple with it’s iPods, iPads, iPhones…with $156 billion in cash in the bank
2. Five Guys Burgers, In-N-Out Burgers, and Smashburger…all 3 growing at stratospheric rates
3. Wegman’s and Publix supermarkets. They made grocery shopping an experience

Okay, so those are some example of remarkable companies. But what about people. Can people be remarkable? NO DOUBT! To show a list of “unremarkable” people would be impossible and more importantly offensive. But look at this list of remarkable people and think about what sets them apart:
1. Walt Disney
2. Steve Jobs
3. Gandhi
4. Peyton Manning
5. Fred Smith

What do all these people have in common that make them remarkable? Vision, courage, discipline, focus, and above all an unshakeable conviction in their beliefs. That’s it. So start there. Look inside. What’s your opinion, what’s your point of view? Form it, shape it, define it….then live it and soon you’ll see how remarkable you really are.

Let me know what you think.  Like if this helped.  Thanks!

5 Best Practices for Maintaining Intense Focus

On By Joe DeRosaIn BusinessLeave a comment

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You just got into the office. You sit down and get ready to tackle a number of critical items that you MUST get done by the end of the day. You’ve got 10 hours to work with, so no biggie…you’ll get them done. Two performance reviews, an RFP response from a potential vendor you must look over, that report that needs to go to your leadership team on ROI, and don’t forget the dreaded meeting with your boss…the infamous one-on-one.

You sit back at your desk and look out the window, it’s 8:00 am. Your mind races to all the things that could go wrong. A bad meeting with your boss, a run-in with HR over those darn reviews, or a call from Finance that your numbers won’t be ready until Wednesday, delaying yet again your report on ROI. You look up and it’s 9:30! What happened. Where did 90 minutes go? Panic sets in. You’ve got 10 things to do and you haven’t even started one! You’re already beginning to slip into a funk and drift…it’s almost like you’re losing consciousness. Actually, you’ve lost your focus.

Becoming focused and staying focused is one of the most difficult things we are faced with each and every day. It’s not something you only do once. To accomplish, achieve, or succeed in anything you do requires focus.

Here are some best practices to help you find your focus and maintain it:

  1. Make a list. At the end of each day, make a list of your top priorities that need to be completed the next day. Place them in order of importance from a completion standpoint and go further by assigning a completion time. Example: #1 Joe’s Review to be completed by 10:30 am. Having a list, and knowing the timeframe of each deliverable will help you focus on each critical item to complete.  Print out your list or, as I do, write each item on a white board if you have one in your office.  Having these deliverables staring you in the face all day is a constant reminder of your priorities for that day.
  2. Office hours. Steal a common behavior from your doctor. Build blocked-time into each day. Blocked-time is time during your day that nothing gets scheduled. It’s protected. Having this protected time allows you to create your own cushion or safety net should you encounter unexpected demands during your day. Having some flexible hours or even minutes will help you stay focused.
  3. Sleep. No, not on the job! Sleep at night when you’re supposed to. One of the biggest reasons for loss of focus is sleep deprivation. Focus, like concentration requires huge amounts of energy. When you have no fuel in your tank you won’t be able to maintain your focus to accomplish the tasks that are in your priority bucket. Everyone requires a different amount of sleep so I won’t bother to advise on how many hours you need but suffice it to say you should determine how big your “fuel tank” is and how much it will take to fill it.
  4.  Eat right. Try to stay away from too much caffeine or sugar. They may provide for a great rush but they’re not sustainable and soon you’ll find yourself heading downward. Fruits, vegetables, or the occasional energy bar may be good snacks to keep you going. Stay away from heavy carbs as they will tend to make you lethargic and slow your thinking. The goal is to be alert.
  5. Walk.  Sitting in your office all day is one of the worst things you can do when trying to stay focused.  The human brain needs stimulation to recharge its batteries…not to mention fresh air helps too.  At least once ever 90 minutes get up and walk around.  Move.  Breath.  Do some neck stretches.  This motion and activity will help renew your energy and provide improved perspective as you head back to dealing with your list.

Doing these 5 things each and every day will help you master control of your own personal focus.  This control will give you a better ROF – Return on Focus – as you will be accomplishing what you need to, when you need to, with the highest quality possible.

Let me know what you think.  Click the Like button if you found these tips helpful.

Confidence, what confidence?

On By Joe DeRosaIn BusinessLeave a comment

According to the U.S. Census Bureau’s July 24th report, home sales are on the rise along with prices.  The unemployment rate in July saw a slight decrease from 7.6% to 7.4% adding more than 160,000 jobs to the economy.  The market has been on a tear, up nearly 9,000 points from its low.  And what about GDP?  Well the latest numbers published by the Bureau of Economic Analysis suggest a 1.7% increase in the second quarter.  Sounds good right?  So what’s the problem?

The fact is that even with all this positive data these is still an overwhelming sense of discomfort, uncertainty, and general lack of confidence in the world around us.  People are skeptical of government action (or inaction in certain areas), turmoil overseas, the real unemployment rate (includes those under-employed, marginally attached, and those who have simply fallen off the unemployment claims list), and the ongoing list of scandals that seem to plague our society.

But are these issues really creating a lack of confidence?  Consider these facts:

  1. Gold prices nearing $1,400 an ounce.  In the last 5 years, gold has literally doubled in price.  Typically viewed as a safe-haven for worried investors, an increase in the price of this precious commodity suggests confidence problems abound.
  2. Consumer Confidence as reported by the Conference Board drops 2 points in July.  This decrease was “precipitated by a weakening in consumers’ economic and job expectations.”  This point drop tracks back to the real impact of the current unemployment numbers.
  3. Small business confidence as reported by both NSBA and the NFIB showed a slight month over month improvement in their respective July reports.  However, the small uptick in confidence didn’t translate into hiring more workers.  Less than two-thirds of small businesses are able to obtain adequate financing to run their business.  Tight credit markets are typically a sign of low confidence.  And, if businesses don’t feel confident in the availability of credit they most certainly will not extend themselves into growth-driven initiatives such as hiring or expansion.
  4. The recent market pullback may not be a sign of low confidence as much as it may be a normal correction.  The last two weeks has seen the markets end on down notes (unless something miraculous happens today).   This drop has still only resulted in a 5% pullback.  Not considered a major correction by any means but still worth watching.
  5. Consumer spending has decreased quarter over quarter this year as American’s pull back their spending due to concerns over their jobs, and the overall economy.
  6. And what about George Soros‘ bet this week buying millions in Put Options...a hedge against a drop in the market.  Said simply…Soros believes the market is going down and has taken action to protect his investments by purchasing Put options.  He bet against the market once before in 2008 and was right.

Trying to read the tea leaves continues to be difficult.  With all the fairly positive data floating around you would think there would be more confidence among consumers and businesses.  But the realities facing the market from tight credit, to low hiring, to major shifts from full-time employment to part-time suggest we’ve got a long way to go until confidence makes its return to our great country.