the copycat effect

There’s been a lot of layoffs recently…

(over 240,000 jobs lost in 2023 plus 7,500+ in January alone)

Google, Amazon, Microsoft, Meta, Zoom, Discord, Citi Group, Twitch, etc.

Nobody’s safe…

But why now?

Why so many?

Well, according to Jeffery Pfeffer – a professor at Stanford Graduate School of Business:

It’s a copycat behavior.

During the pandemic, a few companies went on a hiring frenzy to support the immediate transition from offline to online lifestyle.

Other companies copied.

In 2023, a few companies weren’t happy with their earnings per employee… so they announced a massive layoff.

Other companies copied.

But (in reality) these companies have a healthy cash reserve sitting in their bank… and are still wildly profitable.

This is happening in the e-commerce industry as well.

The public was forced to transition from offline to online shopping during the pandemic. 

Most e-commerces were able to boom without actually knowing what they were doing. Therefore, many…

– Bloated into a complex organization…

– Overstocked their inventories…

– And invested in multiple platforms, spreading their resources too thin. 

(and other e-commerce copied)

But when you’re experiencing 43% growth in a year… these problems are invisible – like hidden landmines.

Now…

The growth is over.

Sales plateau (or worse, landslide).

Therefore, if you’re like most… you might be panicking a bit.

Because the chickens have come home to roost.

Lesson Learned:

– Stay lean in a bull market

– Stay agile even when you’re eager to scale

– Build assets during rain to deal with the dry

With that being said, you should always prioritize two assets:

1) Building a healthy email list

2) Developing an Email Profit Engine

Because when you have both, you can always make it rain when the economy isn’t in your favor (or when ad platforms are banning accounts left and right).

Interested in how to?

You can subscribe to my newsletter to find out

Cheering for you,
Wuyen