A COMPANY COMPETING FOR THE FUTURE, CARRIES OVER TO CONCEPTUALIZE NEW TYPES OF CUSTOMER BENEFITS OR TO CONCEIVE RADICALLY NEW WAYS OF DELIVERING EXISTING CUSTOMER BENEFITS.
For a company competing for the future, strategy transcends mere positioning of individual businesses and products within today’s competitive environment to maximize profits. It embraces proactively and advantageously configuring inceptive industries or beneficially reconfiguring existing ones.
To start off to the future, an organisation needs to acquire competencies necessary for shaping and profiting from the future.
A company competing to dominate tomorrow’s market carries over to conceptualize new types of customer benefits or to conceive radically new ways of delivering existing customer benefits. It also smartens up to influence the direction of industry development that its competitors cannot easily imitate, accumulates necessary competencies, discovers what customers really want and develops the necessary product or service delivery infrastructure. It also gets round to an effective strategy for optimal market positioning, preempting competitors in critical markets and maximizing efficiency and productivity.
Precedents entrenched in policy manuals, corporate processes and training programs are often irrelevant within the context of today’s industry and pose a grave danger to the survival of an organisation. It is constructive for an organisation to learn the boundaries of its own knowledge and then, transcend it. Detroit Auto Makers were ignorant of the point of view of their Japanese Competitors; thus, they paid dearly for their ignorance.
When an industry’s incumbents accept the same conventions that they become clones of each other, they leave their industry vulnerable to an upstart rule breaker or new rule giver, an innovator who thinks up and implements radical new ways of producing a good or service.
A company should not allow its successes to drive it into complacency that it stops thinking about changes in customer demands, technology and goals of its competitors. To survive, it must weed out its outdated knowledge about its industry and invest in new intellectual capital. NBC and ABC received more attention from CBS to CNN‘s advantage.