To escape the curse of commoditization, a company has to be a game-changer, and that requires employees who are proactive, inventive and zealous.
Gary HamelRead
At a big company, often size turns into constipation; it fogs the lens about what's really happening. Sometimes with size and success comes the notion that since we've done things to be successful, we have the formula and can institutionalize it. That can be death.
Interpretation
Large companies can become rigid and lose touch with reality due to their own success.
In this quote, Mark Parker reflects on the challenges that come with the growth and success of a large company. He suggests that as organizations expand, they may become less flexible, leading to a disconnect from the true feelings and needs of their employees and customers. This 'constipation' can create an illusion that past successes provide a guaranteed formula for future achievements, which can hinder innovation and ultimately lead to failure.
In practice
This quote can be used in a business meeting to highlight the importance of staying adaptable.
To escape the curse of commoditization, a company has to be a game-changer, and that requires employees who are proactive, inventive and zealous.
The concept of disruption is about competitive response; it is not a theory of growth. It's adjacent to growth. But it's not about growth.
By simply capitalizing on core strengths and knowledge, companies and entrepreneurs can engage in an emerging business model that will enable them to create - and demonstrate - real, sustainable social impact in society.
The real challenge in crafting strategy lies in detecting subtle discontinuities that may undermine a business in the future. And for that there is no technique, no program, just a sharp mind in touch with the situation.
To me, I would much rather be part of a healthy industry than being the only player in a dead industry.
Statistics suggest that when customers complain, business owners and managers ought to get excited about it. The complaining customer represents a huge opportunity for more business.
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