2009 Year end speech

Year 2009 is a good one for us, especially when you compare what's going on out there:

A lot happened. The economy has been going down for 2 years, significantly. Now we could say the free-falling was over, we've seen the worst back in March. Now the damage was done, it stabilized, and the "coming back" will be very long. During the past decade, we've enjoyed the "good" time which now we know was just one bubble after another: internet, housing, commodity... To adjust from over-expanding, we'll have to go through contraction, and over-contraction, and then back a bit. The government policies won't cure anything, it just makes the process less steep, less painful in one sense, but more painful in another sense. The unemployment rate will remain high, the housing market will remain soft, we won't feel any better until these are coming back.

Changes are made in our mind and behavior too, and will affect us for the next 10 years IMHO. People switched from none or negative savings rate, to positive 3-4%, in a matter of 6 months, even when we are not making much. Guys used to get 8-cylinder to show their "man-hood", now most are buying V4 under 2L, or simply running their old cars. People are moving together, helping each other, reevaluate family value. People are more frugal, doing what they need, rather than just what they want... Material-wise, we are consuming or wasting less, does that necessarily making us less happy?

 

What's relevant to us.

We are in printing business, which is part of overall marketing and advertising spending, which is usually the first to cut and don't spend until last minute. Retailers were crushed themselves, so they try to cut budget to almost zero. Real estates were hit badly to almost hibernation. Tradeshows are shrinking, most people are attending rather than exhibiting, even if they are they are not buying anything... While I talk to other business owners, it's really normal to drop 20-40%, or maybe more but they won't tell you.

We would've had a horrible year too, if there is no CC. You heard I say we are lucky, but it's not purely lucky. We grabbed the right opportunity, at the right place, at the right time, because we are capable. Yes there are a lot to improve: made too many mistakes, wasted too much, could've scheduled it more efficiently... But we delivered, and our customers are happy.

It's not the biggest nor strongest will survive, rather those who are nimble enough to make adjustments. Moving forward, we'll still have to keep up our quality and service. We'll provide the right solutions to the right people at the right time. We need to pay down our debts. We'll invest in people and equipment when it's justified. We'll go back to trenches and play defense again when we need to. We'll have to make enough money to stay alive, which is our overall #1 priority, and then grow. Everybody needs his/her job.

I appreciate all the efforts from you guys in 2009, although again there is always room to improve. Looking at 2010, the visibility is still poor, we have reason to believe it will be good, as long as we keep making ourselves better, keep beating our competitors.

 

Now it's time for us to have dinner together, enjoy the moment, feel thankful, and show appreciation.