How to improve commercial awareness?

Commercial awareness is a buzzword within the legal community; everyone has it, yet no one really knows what it is. A broad definition of the term means understanding the current market, whether that is political or social, and how it plays a part in what makes a business successful. It requires recognising the need for cost effectiveness, meeting customer needs and efficiency.

Law firm employers expect candidates to have commercial awareness and an understanding of the wider market place. Candidates must know how changes within the company or business will affect clients and how to meet their needs.

How can I become commercially aware?

There are several ways to become commercially aware, it just requires consistency, persistence and application.

1. Podcasts and blogs

The popularity for podcasts is rising with over 19 million episodes and is one of the easiest ways to gain knowledge and information on the go. Best of all, it’s free! There are many podcasts that are helpful in providing an insight into the business and economic world, especially helping understand difficult concepts. Blogs are also a popular and useful tool to help broaden your knowledge and gain a different perspective on commercial events.

Great podcasts to download and listen to:

• The Intelligence;

• Business Daily;

• Law in Action;

• Today in Focus;

• Bloomberg Surveillance;

• Wake Up to Money: and

• Exchanges at Goldman Sachs.

• Useful blogs to read:

• Legal Cheek;

• The Lawyer;

• The Law Society Gazette;

• Legal Business; and

• LawCareers.Net

2. Working or Volunteering

Any working environment can help develop your commercial awareness. You will be able to see how a business or organisation is run and how it deals with certain issues. Your job or volunteering position does not necessarily have to be in the legal sector. Working in a different sector such as retail, charity or creative work can give you a first-hand insight into the issues your future clients may have. Summer placements and internships are also extremely valuable when it comes to gaining commercial awareness as you have the opportunity to experience real-life scenarios. You are also able to ask colleagues or other people you meet questions to deepen your knowledge on certain issues or business affairs.

3. Newspapers and Journals

Reading the Financial Times and the Telegraph provides daily news on what is going on in the world and provides updates on how a certain event has affected the economy or a particular country country. Reading newspapers, especially when you are not used to reading them can be overwhelming and even a bit tedious (!). However, once you get started and it becomes a habit, you will begin to understand different areas and issues and find that reading newspapers can be super rewarding and provide you with a lot of knowledge!

How can I demonstrate commercial awareness?

Commercial awareness can be demonstrated through understanding and reading about how outside challenges affect business or organisations face affect them. The more you know on a certain topic, the easier it will be for you to answer questions on surrounding it. An overarching understanding is definitely necessary. Starting something always takes time and it is not something you can gain instantly. The best way to develop commercial awareness within the profession is to understand and apply your knowledge. Stay up to date with new developments, stories and trends within society.

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By Linsey Fadiga