While there are significant benefits to diversification, with none larger than that of enhancing shareholder value, it is also important to note that there are times when it may be advantageous for a company to stay focused on the core competencies and competitive advantages that it was founded on, that is, not to diversify.
Every successful high tech company has created value either by: Inventing a revolutionary technology and maintaining enough of a technical edge to build and sustain market share setting the barrier to entry high for competitors. Employing a ‘fast follower’ strategy to evolve existing technology and truly understand the needs of users to address specific areas […]
Many talk about it, some even think they are gurus at it, but how many companies can truly attribute sustained, substantial business growth to innovative thinking and excellent execution of bright ideas? Very few. Is your firm an innovator? To find out, try reading the work of Clay Christensen (Author of The Innovator’s Dilemma). In […]
Does your company have the right skills to innovate effectively? Some may think this is an odd question and an answer to this may revolve around client satisfaction with a current product or service offering. However, I would argue not looking deeply at how you come up with new products or services leaves opportunities on […]