In the WeWTF article that's currently on the front page, Scott Galloway mentions that the firms he started during recessions were more successful for these reasons:<p>1. an easier time finding talent<p>2. easier to control costs<p>3. getting immediate feedback because clients/customer held their purse strings closed<p>What type of business model do think would be more successful under in an economic downturn?<p>For example, I think services where users altruistically pay to support creators whose media is largely free to consume (e.g. Patreon, Twitch) wouldn't yield as much revenue because people have less disposable income. I can't really think of a model that would do well under these conditions. Of course I could look up Scott's past work, but that would be cheating.
Ideally, you want to start the business just before the bottom of the business cycle and have a large market share during the next boom. Many companies started in 2007-2008 managed to hire great people at the beginning and are bringing in huge revenue today.<p>Many products can be sold as cost savers during the trough, and rake in huge profits during the boom. Cloud computing is an example -- people start using it to avoid buying servers but during boom times they over-provision.
>What type of business model do think would be more successful under in an economic downturn?<p>The type that was successful during the good times. A good business that solves customer problems or provides value will survive in all kinds of economic conditions.<p>Scott is connected. His resources are endless. Unless you're rich or have incredibly rich friends or investors it isn't going to happen.