As defined by Yahoo business Investors Guide to Cyclical and Counter-Cyclical Industries: “Counter-cyclical or defensive industries are those that do well in economic downturns, since demand for their products and services continue regardless of the economy. It’s a niche industry financial performance negatively correlated to the overall state of the economy. ”During an economic downturn, businesses have the need to survive and at the same time to develop growth counter-cyclical strategies.
Designing a counter-cyle strategy with an evolutionary approach implies a carefully designed strategy. It is the most challenging and difficult problem to be faced by an organization. But with the knowledge of the science of evolution and an evolutionary approach it's much easier to build a counter-cycle strategy for success. Keeeping in mind the triadic structure for every relationship can be designed with a believed future scenario, maximum strategy for growth and minimum strategy for survival.
For example, the 2008 financial crisis article explains how this situation broke the integration of the system between the market and the companies and between the companies and their shareholders. Consumerism was used by the developed cultures to sustain growth but it generated a dysfunctional market behavior. Consumerism developed into a speculative behavior that provoked an artificial increase of the prices of all the gas defined by Yahoo business Investors Guide to Cyclical and Counter-Cyclical Industries: “Counter-cyclical or defensive industries are those that do well in economic downturns, since demand for goods that can be owned. The capitalist system is not only based on private property, it is based on trust and credibility and the integration of the population in the property of the economic institutions. This is what has been named neo-capitalism. Institutions who developed successful counter-cycles coming out of the 2008 growth crisis survived and expanded their market position.
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