Archive for September, 2011

There Are No Foolproof Plans.

September 21, 2011

Given the tremendous rate of ongoing technological change and innovation, no enterprise, no matter how dominate at the moment, is impervious to failure. No company is immune to changes in industries, business markets and consumers’ changing needs. That is why it is so hard for companies to keep achieving double digit earnings growth. Yahoo thought it owned [...]

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Posted in Competitive Advantage, Technology | No Comments »

Extra Innings

September 19, 2011

Once a sustainable advantage is equalized, it is no longer an advantage but a cost of doing business. TQM and Six Sigma cannot give an enterprise much of a competitive advantage. They can be bought off the shelf, meaning your competitor can get them, too. Every enterprise has an opportunity to purchase the product. “Firms adopting popular [...]

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More For Less. Less For More.

September 15, 2011

I do not understand the logic behind P&G and Kraft raising prices and at the same time reducing package sizes. Their strategy of less for more is especially egregious during these tough times. They should be doing the exact opposite. They’re pricing strategy should be more for less. They both claim that they are consumer-oriented [...]

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Posted in Customer Relations, Pricing, Recession | No Comments »

Sidewalk Vendors

September 7, 2011

“There was an interesting article about innovation in The Financial Times [September 12, 2011] entitled “Real life trial and error drives innovation.” There have been a thousand books  and business school papers written on innovation. Luke Johnson believes that we can learn a lot from street vendors. Typically, these vendors serve pies, porridge, churros, hot [...]

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Posted in Investment, Markets, Strategic Planning | No Comments »