article thumbnail

Winning Now, Winning Later: Playing the Infinite Game

Leading Blog

Grow while keeping fixed costs constant. If you want a business that performs both today and tomorrow, you need to take apart your business and put it back together again so that it works more efficiently and effectively. Scrub accounting and business practices down to what is real. Invest in the future, but not excessively.

article thumbnail

How Do I Start A Small Business?

Strategy Driven

Apart from conducting detailed market research, finding out fair clientele, performing surveys, retaining target groups, exploring SEO, and researching public data, which are obviously important factors, one must also remain very adaptable to changing situations. What will be the market where you want to get into?

Insiders

Sign Up for our Newsletter

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

article thumbnail

How To Reduce Business Expenses

HR Digest

The use of cloud computing can help to save hardware and operational cost. Also, the buck money spent on marketing can actually be reduced when social media and online marketing is applied. Not just about the cost reduction, it also gives the business a wider range of profit-making opportunity. Reduce production cost.

How To 63
article thumbnail

Is Profit Bidding Strategy Beneficial?

Strategy Driven

Only then will they be able to discover the optimal balance of volume and efficiency. Revenue might be deceiving since it hides margins, fixed costs, payment fees, and shipping charges. There are no more controls available to the marketer, as we will see in future possibilities. What Does the Bidding Strategy Imply?

Strategy 111
article thumbnail

The More Climate Skeptics There Are, the Fewer Climate Entrepreneurs

Harvard Business Review

But how does the presence of climate skeptics affect the market for climate-related innovation? A drug company must incur a large fixed cost to do the basic research, so it has strong incentives to predict what the demand for the drug will be if its research succeeds. Suppose that there was only one bald man in the world.

article thumbnail

Is Rooftop Solar Finally Good Enough to Disrupt the Grid?

Harvard Business Review

Over the past two decades, there have been many attempts to reform the electric utility market. Consider how Uber opened up the transportation market. In both cases, the two goods (car and real estate) are given value-creating potential through a process of market fragmentation and consumer empowerment.

Energy 8
article thumbnail

When Cost-Plus Pricing Is a Good Idea

Harvard Business Review

Cost-Plus Pricing Has Justifiable Drawbacks. Among pricing experts, cost-plus pricing is reviled for some legitimate reasons. For stand-alone projects in particular, cost-plus pricing discourages efficiency and cost containment. When lower costs are quoted, the company earns lower revenue and total profit.

Price 8