Post by Isabel Knauf

Accept what you cannot change, focus on what you do well and make sure you get paid! 📌 This is what I recommended Germany’s female entrepreneurs annual conference of the Verband der Unternehmerinnen (VdU). I’ve been a member of the female entrepreneurs association since the formidable late Petra Ledendecker, one of the last remaining furniture producers left in Germany, talked me into joining in 2009. Today, VdU represents the interests of more than 1,800 female entrepreneurs in Germany. Interestingly, 40% have a migration background. Led by Evelyne de Gruyter and chaired by Christina Puello, VdU has become a partner of government in solving the real-life problems of predominantly smaller scale female businesses. Moderated by Lucie Zmijanjac, I was discussed on a panel with Alexandra Kohlmann who is navigating her petroleum-based lubricants business through the challenges of the Strait of Hormuz. We soon realized that we are operating in a new world order: 1️⃣ The new trade deals that the US have negotiated are so unilaterally favorable to the US that the Democrats would have little argument to repeal them. 2️⃣ We must accept that a hegemonial duopoly of the US and China is developing.  and Eeverybody in between will have to scurry to arrange themselves. 3️⃣ Even if energy prices reduce in the coming months, the high price difference will not disappear: about 40% on electricity and 20% on natural gas between Germany and China. 50% on electricity and more than 80% on gas between Germany and the US! 4️⃣ The fraying of the transatlantic partnership as well as  and the conflicts in the Middle East and Ukraine can only lead to one conclusion: that the EU has to become more resilient and self-sufficient. But what does all that mean for female owners of small and medium sized enterprises (SMEs)s? 🌐 Analyze in what markets you – and your customers - can remain competitive. Example: In the long term, German car makers and thus their suppliers will only by able to export from Germany to Europe and, in the upper range, to Latin America and Africa. ❌ Quit subsidizing businesses that have no hope of surviving and do the necessary. 🏭 If your customer base is big enough, invest locally in the Americas and Asia. Internationalization will be a part of growth sooner or later anyway. ⚙️ Focus on what you do well and see how you can modify or sell it to new customers. Find new consumers at home and abroad! 🔗 Your customers need to increase the resilience of their supply chain as well. So promote the advantages you have against imports and demand a premium for it. What’s more: explain the effects of unfair import practices to your local representative. 💰 And finally: Not all companies will survive the #transformation – make sure you get paid! Yes, we need reforms from our politicians, more speed, more accountability instead of data graveyards. But, until then, we need to do what we can ourselves. #Mittelstand #Globalization