Okay, so the economic crisis gave way to the Mumbai terror attack, in as far as the centre stage of news is concerned. But the challenges of the current times have not gone away.

Raw material values skidding to reduce credit limits of companies and making value-added production becoming unviable.

Reduction of US and global pickup hurting exporters in spite of the favorable currency.

Job losses in IT and ITeS (large emplyers) sectors, due to serious US downturn.

High priced real estate not getting bought, developers defaulting on payments, leading to cascading crisis.

Stock markets, the mood indicator for the masses, continuing to flounder, and not giving any hope of an early recovery.

Empty cinema halls, malls, restaurants, hotel rooms.

Huge drop in advertising rates. Reduced newspaper sizes, especially the appointments pages, clearly indicative of job losses.

NO! I am not trying to be a doomsday messenger. But all of the above, and many others, are realities of the day.

And yet, I am staggered to see umpteen statements coming out that say, “…… is recession proof”. Replace the blank with any of Entertainment / F & B / India (yeah!!) or whatever you like to. And the statement will be in the press.

Who are we trying to kid? Movies and entertainment are recession proof? On the first Saturday, after release, the big budget Yuvraaj was playing to 20% occupancy. Food stalls, the big buck earners in multiplexes, are running low queues. Discounts to the extent of 35% on ticket prices have been offered (check out bookmyshow.com).

Its a seriousl connected world now, snowballing factors have cascading consequences that impact one and all. Anyone talking about India not being affected, or all is well, is living in a fantasy world.

Living in denial has never helped anyone. It is important and necessary to face facts, and confront them.

What is clearly required today, is what is referred to as the Stockdale Paradox, and quoted and explained brilliantly by Jim Collins:

“Retain faith that you will prevail in the end, regardless of the difficulties.

AND at the same time

Confront the most brutal facts of your current reality, whatever they might be.”

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