The autumn statement, and why purpose is the route through for businesses

Hello and a warm welcome to the eighth edition of We Are Mimosa, a newsletter for female founders for whom values, and purpose are their strategic driving force.????

The context for this week’s newsletter is the 17 November autumn statement when the Chancellor is due to set out how the government intends to balance the books following Truss’ calamitous mini-budget, with new fiscal rules and an OBR forecast. Let’s just say that I’m not expecting much festive cheer.?

There are three levers the Government can pull to close the budget deficit – lower spending, higher taxes, and higher growth. If only the first two are used, then the economy will get caught in a doom loop – where lack of growth means returning to yet more spending cuts and tax rises. So, a mix of the three will be required.???

The narrative being expounded by the chancellor is that Britain must take its medicine before any conversation about economic growth can start. Restoring faith in the financial markets and tackling inflation is the only game in town. Then, and only then, can a path to prosperity be considered. After the disaster of the mini-budget, that’s a bitter pill for the nation to swallow.??

The concern for business is there will be insufficient positive action to buoy Britain’s sinking economy. For millions of businesses struggling through no fault of their own as economic growth falters, austerity 2.0 will spell a tough few years ahead.??

The route through for businesses?

So, what is the route through? All the evidence points to zero, green growth and the circular economy being the path which offers the biggest growth opportunities. This is a neat segue from my last newsletter - where we looked at one area where female founders are rising to the top and that’s the purpose-led business space. Many of these businesses are in the green growth and circular economy space; companies like Ethique which we looked at last week and Missoma the week before.

There’s a perception that being led by people and purpose means sacrificing profitability, growth, and good business decisions in service of your mission. But this is not the case. The research points to companies which prioritise people and purpose as being much more likely to succeed. For instance, B Corps are 63% more likely than other businesses of a similar size to make it through a downturn.?

Purpose mobilises people in a way that pursuing profits alone never will?

Starting and surviving in today’s economy is hard, but the companies that figure it out have something in common: the pursuit of purpose, alongside the pursuit of profit. Purpose mobilises people in a way that pursuing profits alone never will.

For a company to thrive, it needs to infuse its purpose in all that it does.?The route through the impending recession, which seems to be looking deeper by the day, isn’t to focus on profit at all costs. While you may just about survive a recession with that approach, you’ll be dead in the water afterwards because the broader macro trend of consumers, employees and investors looking to purpose-driven businesses is not going away.?

Read: Why Women Led Businesses Fare Better During A Recession?

Purpose is the business’ 'why'. The reason it exists beyond what it does. Purpose isn’t just about making your products more sustainable or making some CSR commitments. It’s about why your organisation exists in the first place.?This 'why' can be anything. It could be about positively impacting the sustainability movement, but equally it could be to connect people, support social mobility, build communities, or to advance society through technology. The purpose of my company, for example, is to close the gender gap in business.

A company with a strong sense of purpose mobilises people and resources??

A company without purpose manages people and resources, while a company with a strong sense of purpose mobilises people and resources. Purpose is a key ingredient for a strong, sustainable, scalable organisational culture. It’s an unseen-yet-ever-present element that drives a company. It can be a strategic starting point, a product differentiator, and an organic attractor of users and customers.?

Because when a company demonstrates an authentic purpose, customers feel a connection to the products and company. This in turn builds brand loyalty with the outcome that customers will choose the authentically purposeful company’s products over a rival, even if it’s not the cheapest offering.?

Enquire: Use this link to book a friendly (and free) chat to discuss how I can help you to make purpose and values the strategic driving force in your business. Use the same link to book me to run a purpose definition workshop.?

The killing of Mahsa Amini has galvanised a new generation to reject oppression?

There have been arrests, violence and a rising death toll during more than seven weeks of protests in Iran. Demonstrators across the country – many of whom are students or even schoolchildren – are refusing to back down. What do they want and why are they willing to risk everything to get it??

Listen: Iran’s protest generation on why they won’t be silenced.?

And Finally...??

Thank you so much for reading, and please hit the subscribe button if you’re interested in all things female entrepreneurship.? As I mentioned in the first newsletter, I’d love for We Are Mimosa to be a thriving community, so I'm keen to hear from you.??????

1. Which women in business inspire you??????
2. Can you recommend a female founder story that others could learn from???????
3. Which podcasts, books and playlists have you been loving???????
4. What’s on your mind business wise????????

As always, I look forward to hearing your views and recommendations.?????

Denyse??????

About The Author??????

I’m Denyse Whillier, and I was a Chief Executive for 8 years, I spent 25 years in senior management and leadership roles and trained at Cranfield School of Management. For examples of my work, check out my portfolio of case studies.???????

I made the leap from corporate to founding my boutique business consultancy and have worked with a wide range of small and medium sized businesses, many of which are purpose-led. My mission is to close the gender gap in business and make it easier for women to start, grow and scale a successful business without compromising their values.??????

An experienced and empathetic business advisor, I’m always happy to talk you through how I can help. Use this link to book a friendly (and free) chat at any time.?