__p The channel is a very reactive community. We react instantaneously, vociferously and proactively to takeovers, dismissals, appointments and resignations that take place to people, and issues that concern us. And this is a characteristic that is admired and encouraged. For, when we express our opinion, we also express our solidarity to the individual or issue that is under scrutiny.
p____p But what we now need to develop is our analytical skills, to better understand and comprehend the reasons behind the issues. Most of us hardly go beyond the initial reactions, to the core of the issue; we hardly take the time to find out what exactly went wrong. We speculate a lot, but we do not regurgitate. As a result we lose out on some good learning opportunities.
p____p For example, the recent management shakeout that happened at Samsung has most partners shocked. But if you were closely monitoring the sales graph of the company, this decision would not have been such a surprise. According to a business magazine, the company’s profit margins on mobile phones dropped from 13 percent in Q4 2003 to 3 percent in Q4 2004. And the consequence of this decline is there for all to see.
p____p Unfortunately, most partners right now are focusing on the uncertainties of the corporate world and how easy it is even for top management to lose their job overnight. But the real lesson to learn from this is that, tough times call for tough decisions. By letting go of people who are practically the face of the company in the Indian IT market, the company is stating very clearly that targets and market share are important. As the IT market place gets more aggressive, we will probably see many more companies adopt this philosophy.
p____p But is this the kind of people we want to become? Do we want to become so sales-focused that everything else takes second place? Or is there room for encouragement and second chances?
p____p As businessmen who are soon going to compete in an international market place, you will face this question time and again. And the decision you make will determine the caliber of the channel partner that you will do business with in the future.