After the devastating hit on the American East coast from Hurricane Sandy, so many conflicts have risen. Not only are people left without power and home, but business owners are having a tough time figuring out how and when to get products shipped to them from across the Atlantic. As mentioned in the article, “The New York area’s port system is the largest on the East Coast, and the third largest in the nation. Last year, it handled $208 billion in cargo”. Not only are the ports destroyed by Hurricane Sandy, but other modes of transportation are effected as well. The train rails, for example, are covered in debris and damaged by the debris.
As a result, many business owners are not receiving any of their shipments that were requested because there is no mode of transportation to reach them. Also, the holiday season is when entities gain the most profits. This has a huge ripple effect because if businesses are not getting any of their goods, then their customers and business to business transactions won’t receive products needed. In turn, no business will get sufficient profits and customers will not receive their desired good. I can only imagine the frustration on everyone’s minds.
With all this trouble, there is some positive attitude coming from business owners. Robert Van Sickle, the owner of Polka Dog Bakery, states that he considers, “Repackaging the [dog] biscuits and donating proceeds to storm relief efforts.” This is a thoughtful gesture that many business should think about keeping in mind. If owners are not able to get parts of products to complete their good, then he or she should donate it to those who could be in need. This way, not only are they giving back to the community, but the community will recognize their effort in helping, which could result in gaining customers and gaining loyalty from their current customers.
This scenario helps me link back to the leadership triad. Business need to work with the foundation/ condition they are given to try to squeeze as much profit as possible. If people don’t have power, maybe they need to post up printed ads all around the city to get the attention of consumers or have employees going from one house to another giving away coupons to their merchandise, just so they can bring customers through the door and allow those who have a limited budget to be able to purchase merchandise that he or she wants. This results to a customer focus by creating such strategic planning. With this storm, businesses need to focus and think about their local customers more than ever by giving the helping hand and showing how appreciated he or she is for being a loyal customer.
What are your thoughts about the situation? What are some strategies you would utilize to bring customers into your store to get rid of inventory and make as much revenue as possible without having any new products coming in?
To read more about the article visit this link: http://www.nytimes.com/2012/11/05/business/a-storm-battered-supply-chain-threatens-the-holiday-shopping-season.html?pagewanted=1&_r=0&ref=business