Joint Ventures/Partnerships: The importance of creative marketing in a down economy
By Roger G. Hill Chief Executive Officer & Chairman, The Gettys Group Inc. | March 14, 2010
As an active and leading player in the global hotel industry, an innovative hospitality design and procurement firm, Gettys, like many others, has not been immune to the high peaks and difficult valleys that came with the past few years in the business, and 2009 was definitely no exception.
2009 was a tough year for everyone. For this reason, it doesn't matter what industry you are in, everyone had to make significant changes, including those within their sales and marketing teams. With these adjustments, firms have had to continuously look for creative and effective ways to build their business. Joint ventures, partnerships, creative marketing and networking are just a few options for the next generation of companies striving to meet demands in the working world as we transition into a new decade.
Joint ventures and partnerships offer opportunity for many businesses in today's world interested in continuing their growth - both domestically and internationally. These collaborations, if executed effectively are an opportunity for both small businesses to band together to take on the goliaths of an industry as well as an opening for large companies to capitalize on some of the streamlined methods utilized in smaller organizations.
Collectively, the approaches can offer enhanced credibility, create new profit channels, increase industry knowledge and build an advantageous barrier with other competitors in the field. Like all business decisions, before engaging in a joint venture or partnership, it is one that requires research, patience and least of all risk to meet your team's goals.
One of the first questions your firm should consider is what value does this joint venture/partnership offer our team? What does this offer our future partner? Are your team goals and the goals of your potential partner clearly aligned? It is very important to view these ventures as if that individual or organization is carrying one of your own business cards. For this reason, it is essential to set these expectations at the onset of the collaboration in order to maintain and manage expectations for all parties involved in the transaction. When you enter into this type of affiliation you become an extension of your new partner, as well as a direct snapshot of your firm's profile.
With the world constantly becoming more accessible, the logical growth step for many entrepreneurs is to open additional offices in gateway cities and key markets within their industry. If your firm is interested in this strategy but lacking in funds; I would recommend spending the time to research which country/region is appropriate for your team to invest a stake in, prior to making an investment in the next developmental steps. Once you are comfortable there is future growth potential in this desired region, then there are two ways to approach this expansion alternative with ventures and partnerships.