The market always knows better
The market always knows better. Should we try to fight it or should we go with the flow?
There is a market to every business. The market has its own needs and constantly looks for fulfillment.
When large televisions have started to be less popular (because they were taking all the space on your shelf) and new, thin ones got introduced, the market began excessive production of them (in various shapes and designs, with selection of functions and brands), to fulfill its needs.
When mp3 players were launched, everybody stopped buying walkmans (tape players). Do you still remember them? It was a best seller at some point… It was. But everything changes. Both technology and needs. The question is, whether we should try to fight the market’s needs, insisting that what’s old is better and carry on producing huge, cube tvs, or we should go forward and proceed with changes?
Obviously, changes are often painful. You work on something for years, and then out of sudden you need to find a different industry, because this ‘something’ began to be less tempting for others than before.
People who win are the ones who are flexible and able to catch up with changes on the market. Ever day is new, and it may bring new views and ideas, that turn everything you know upside down.
What’s interesting is that you don’t have a clue when it is going to happen. Same as you don’t know whether this new trend wouldn’t make another turn in a short time. 🙂
Some time ago, I was reading an article in the newspaper about a family company from the USA, that used to produce cassettes for many years. Yes… cassettes – you know, this little rectangle thing with music recorded in it (antique). When the market changed, and everybody turned into CDs/DVDs production, this one company did not do it. Were they crazy? Maybe. But they became the only ones left on the cassette market. It attracted all the fans of this old-fashioned way of listening to music, and they are still buying it for really ‘inappropriate’ prices. This family company takes orders from all around the world.
It proves, that it is possible to go against the market – just create it yourself. But I am not sure if it would work in every business sector. And I don’t think that everybody could succeed this way.
The market always knows best.
But there are dangers out here too…
Sometimes the market is like a river. Wild crowd, full of bad emotions, panic, lack of patience or understanding is like an unstoppable wave. This wave is able to destroy everything that stands on its way. Just imagine that you’re out there. You go with the flow, which in this example is the crazy and wild market, and suddenly, someone stands in front of the wave, saying that it is not like you all think. Have a guess who’s going to win. This ‘someone’ is going to get destroyed by the wave. Unless… he moves on the side of the river, letting the wave of anger go past. Sometimes, the one who stands on the side and act differently that the crowd will win. Like the family with cassettes. But it is not always the case.
In life, in business, in every day situations – there’s no assurances.
I am keep repeating – the only thing that is constant is change. And honestly, it is not just an empty saying.
No matter what business sector you’re in, you will have to somehow react to upcoming changes. And it is this reaction that your profit (or lack of it) will depend on.
I don’t know if I want to go with the crowd. But I definitely do not want to follow people who are driven by wild emotions and misunderstandings.
I don’t know if I want to fight with the crowd. Because most often the market knows best.
I think I want to go my own way – by changing my actions, discovering new ones, carrying on to look for opportunities, asking questions and making better or worse decisions.
Do you know why?
Because it is my life.
And your life belongs to you too.
And in your life, it is you who decide.
Bill Gates was once suggested ‘the Internet’, and he replied: ‘No, thank you, we are not interested’. Was it because there wasn’t right market for it yet? Was it because the Internet was meant to be only for selected people? Was it because they did not predict high profits from it? It’s hard to say. But Bill Gates was definitely surprised with what future brought. Change. And the market.
How about you?
Are you trying to catch up with the market’s needs and react in order to fulfill them?
Or are you standing against it?
You don’t care about the market, because you’ve got our own path and you want to create it by yourself.