Industry Breakpoints (described in 1992) are characterized by “A new offering to the market that is so much superior that it changes the rules of the competitive game, accompanied by a sharp shift in the industry’s growth rate and a dramatic realignment of market shares.” Breakpoints in the evolution of an industry involve either divergent competitive shifts in in the variety and customization of the value proposition. or convergent competitive shifts in the scope and organizational efficiency of the value delivery system. Divergent shifts typically start with a multitude of pioneering offerings, and may be followed in a later phase by offerings tailored to different customer segments, or integrated products and services tailored to individual customers, or offerings co-created with customers. Convergent shifts typically start with a new efficient high volume delivery system that competitors have to emulate to stay in the game, possibly followed in a later shift by process efficiency involving the whole organization, or modular efficiency with standardized supplier inputs, or ecosystem efficiency integrating customers, suppliers and partners into a common digital platform. The industry’s evolution towards greater customization and efficiency can be interrupted by Disruptive Innovation in technology (described in 1997) that creates radically new business models.
Once again, Donald Trump has promised bold yet unspecified moves that will add to the uncertainty facing executives. Business leaders must cut through the "policy fog" by focusing on what the re-elected President can actually control, comprehensiv...
The mention of geopolitics leads many to ask how company strategies are being reformulated to capitalize on what's left of globalization. But this overlooks a critical prior question: what's the best way for firms to track and assess geopolitical ...
Many new businesses have emerged in recent years with few employees, no roots in the community, and heavily reliant on Big Tech for survival.
Many new businesses have emerged in recent years with few employees, no roots in the community, and heavily reliant on Big Tech for survival.
Here are three strategic lessons from the tramp shipping industry.
Shipping is a unique industry, and tramp shipping is a niche sector within it. Yet, in an age of growing market disruption and uncertainty, it has some key lessons for strategic management in other industries.
Most annual predictions fail to provide actionable insights for executives. Here are two approaches to better discern the implications for your business.
Companies need clear guidance to achieve sustainable business transformation. A practical roadmap identifying drivers for effective change can make success more likely.
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Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications