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Remember the argument of iPad vs the rest in the tablets wars? Guess who's the content distribution king on the web. Now, once the device market saturates, and the focus shifts entirely to content a la TV, who do you think will be reaping the rewards - Apple or Amazon?
Revisiting the competitive advantage concepts...
“In business, I look for economic castles protected by
unbreachable ‘moats’.”
-Warren Buffett
Another piece on Android focusing on the business model:
"Some will argue that the best product will win the market and that Apple will still dominate the smartphone market. The history of the personal computer market is no omen for this thesis. If you think about it, the people that know this better than anyone are the exact Apple loyalists who have been frustrated for years at Apple’s lack of dominance in the PC market. Disruptive business strategies can and have trumped better products. And with no change to the current market, the Android leveraged position in the market could result in staggering unit share gains. This is not to say that the Google Android is better than or as good as the Apple iPhone. The key point is that it does not have to be. It only needs to be dramatically better than the current feature phone. Which it is."
"With its disruptive and leveraged strategy, it is Google that is attempting to be the Microsoft of the smartphone market. Perhaps ironically, Apple is well positioned to be the “Apple” of the smartphone market."
Google is doing what Microsoft did, and in a very different way... "Android, as well as Chrome and Chrome OS for that matter, are not “products” in the classic business sense. They have no plan to become their own “economic castles.” Rather they are very expensive and very aggressive “moats,” funded by the height and magnitude of Google’s castle. Google’s aim is defensive not offensive. They are not trying to make a profit on Android or Chrome. They want to take any layer that lives between themselves and the consumer and make it free (or even less than free). Because these layers are basically software products with no variable costs, this is a very viable defensive strategy. In essence, they are not just building a moat; Google is also scorching the earth for 250 miles around the outside of the castle to ensure no one can approach it. And best I can tell, they are doing a damn good job of it."
Interesting article on commoditization. Microsoft did it pretty well in the PC era, while Sun shot itself in the foot by trying to commoditize both hardware & software. Wonder what happens in the mobile computing (smartphone\tablet\netbook) era. Will the app marketplaces do the trick?
How do you use your information & is there scope to monetize it?
Pretty interesting way to analyse the fit of an innovation with a company's business model. The method goes beyond the basic core competency compatibility and looks at other parameters like geography, customers, channel & product\service. The author also
"More than ten years into the widespread business adoption of the Web, some managers still fail to grasp the economic implications of cheap and ubiquitous information on and about their business. Hal Varian, professor of information sciences, business, an
"..gaining a complete picture of how importance matters to customers and actually drives outcomes (not just satisfaction in the example above), could materially affect what you as an organization focus on to make improvements. We’ve observed repeatedly th
There is a lot of buzz and excitement related to social media. But remember that for social media to have any real lasting benefit to your brand, you’ve got to make sure it’s based on a solid strategic foundation. Otherwise, social media is just going to
A different way to look at the Apple & Steve Jobs: "I'm not so sure that Jobs thinks his Macintosh strategy failed. I think the way Jobs looks at it is this: he built a beautiful, revolutionary machine in the Macintosh, attracted incredible hype for it an
Pretty interesting thoughts: 'Although Google doesn't need to "win" the battle with Apple, Apple's hysteria, along with its insistence on fighting the wrong battles, means that Google has a decent chance of winning. HTML5 may be Apple's last chance to cha
The strategy remains the same irrespective of the medium or platform.
The evolving theories of strategy
A series that examines the roles and teachings of Business Gurus, with text, audio and an explanation of common management terms.
Includes Peter Drucker, Bill Gates, Michael Porter among others
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