How to Make a Great Business Great

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The economy is precarious, the stock market is volatile, and competition is constantly changing. So why—as you stress in your book—is it a great time to start a business?

Mark Thompson: Whether it's Google (GOOG), FedEx (FDX), Schwab, or hundreds of other successful companies we studied, most of those that are still in business during this current tough economy started in "bad" economic cycles for five key reasons. First, when the economy tanks, companies cut customer service. Customers are underserved and abandoned and may even blame their current relationship. They are much more prone to consider switching loyalties at this time—and as you may know, acquiring customers is perhaps the most difficult and expensive thing any company does. Second, while your competitors are cutting spending on advertising and marketing, you can buy it for bargain prices. Third, those employees who were unavailable or unaffordable will consider working for you in a tough market environment. Fourth, all of the infrastructure you need, from leases to computers and desks, are on sale. Fifth, there are fewer competitors, period. If you've started in tough markets, there is a better chance you learned something about managing in difficult economic times.

Would you share a few tips or techniques to ease the challenges of finding great people and keeping them motivated?

Brian Tracy: Finding great people is another one of the seven strategies. Your business can only grow to the degree to which you can attract and keep great people who can help your business grow. A great person is someone who contributes much more in dollar value than you pay them in salary, income, and bonuses. Therefore, a good person is actually "free." Even more, a good person is "free, plus a profit." What this means is that a good person contributes more than they cost—and much more, yielding a profit every time you can hire one of these people.

A good person is one who fully understands what he or she is expected to do and is fully trained or qualified to do that job. The manager then provides the essential leadership, guidance, and motivation, creating an environment where peak performers can thrive.

The basic rule in hiring good people is to do it slowly and carefully, one interview at a time. As Peter Drucker said: "Fast people decisions are usually wrong people decisions."

Marshall Goldsmith is a world authority at helping successful leaders grow by achieving positive, lasting behavioral change in themselves, their people, and their teams. In November 2009, he was ranked as one of the field's 15 most influential business thinkers in a study involving 35,000 respondents that was published by The Times of London and Forbes. Dr. Goldsmith's books have sold over a million copies and have been translated into more than 25 languages. His best selling books include What Got You Here Won't Get You There (also a Longman Award Winner for business book of the year) and his most recent, MOJO: How to Get It, How to Keep It, and How to Get It Back If You Lose It.

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