article thumbnail

How Likely Is Your Industry to Be Disrupted? This 2×2 Matrix Will Tell You

Harvard Business Review

To help business leaders better understand industry disruption, we developed an index that measures an industry’s current level of disruption as well as its susceptibility to future disruption. For the latter, we measured incumbents’ operational efficiency, commitment to innovation, and defenses against attack.

article thumbnail

Resolution 2011: Make Your Strategy Coherent

Harvard Business Review

Focus on capabilities rather than just fixed assets: Fixed assets, including brands, are more difficult to leverage across diverse businesses and tend to expire, become obsolete, or give way to related services. Define precisely how your way to play adds value for your chosen customers (e.g.,

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Recommended Resources – An Interview with Paul Leinwand and Cesare Mainardi, authors of The Essential Advantage

Strategy Driven

In addition, we believe that your starting point for strategy development is what you are already great at, rather than studying the industry and market for opportunities. Is it more important to consider capabilities when you develop a strategy now than it was, say, five years ago? SD : Why now? What do most companies do instead?

article thumbnail

China’s Growth: A Brief History

Harvard Business Review

Yet the determinants of its successful development are far from established or well understood. What about spillover gains tied to foreign direct investment, joint ventures, and other ties to developed countries? There was also a slowdown in TFP after the mid 1990s. In 2005, the OECD estimated that annual TFP growth averaged 3.7%

GDP 8