No matter where you start in business your plan is to get to the top or at least move up the food chain. Start ups know that they have to take what they can get to get some product out and some cash flowing in the right direction. But, the goal is always to move up, build some momentum, gain some customers and little by little you can move up to higher value customers and bigger profit margins. The privilege is at the top with more customers, higher value products and of course more money, unless it isn't. Because there are times when man and market has to start over at the bottom because there is no more up. Products become obsolete and debt and economies collapse. It is always easier to go up than down. Down is what governments and bankers (and pilots) fear the most! Down markets create lots of problems and can completely unseat the ruling class. No one wants an "economic depression" most economists, politicians and bankers won't even mention the "D" word. How can you promise more, tax more and charge more when markets go down? But the rule says "what goes up must come down" but it seems it ain't so when it comes to the stock, bond, and housing market. Oh yes it does go down but then it always goes up to new heights when measured in dollars. If we are honest most of us don't want to start over with low profits and more work and less customers and more uncertainty either. And this is the most difficult position be in because sometimes you must go down because that is where the new opportunities are. New products that come to the market and eventually displace the old products always start at the bottom. I marvel to watch all current shenanigans to make sure things don't come down when in reality it is probably inevitable and it certainly healthier to get on with it more quickly. It is always going to be necessary to look downward for new opportunities and the new products are not going to have margins and profits that appeal to the current sales force and management. That is why it is so necessary to have a new sales staff and management autonomy that is separate from the rest of the operation. Eventually the new business may surpass the old but it certainly doesn't start there and it will be hard to go down and start over to start back up but the companies that are willing to do just that will win!
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