For CVS, Social Good Was Not a Factor

The Idolbuster

First mover advantage by proactively stopping tobacco sales before they need to. To the last point, the CVS marketing has been brilliant. Social Good had nothing to do with CVS’ decision not to sell cigarettes. CVS announced that it will discontinue selling cigarettes by the middle of 2014. It is tempting to think that social good played a role in this decision.

Why Winner-Takes-All Thinking Doesn’t Apply to Silicon Valley

Harvard Business

Twitter’s market cap just plummeted after a bad earnings report. Given that news, it seems that businesses that have dominated their markets are learning that the magic elixir of network effects and winner-takes-all advantages are about as reliable as cures for baldness. It works like this: a company quickly enters a new market and attracts customers, and those customers attract more customers, and so on. What markets have these companies actually won?

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Why We Shouldn’t Worry About the Declining Number of Public Companies

Harvard Business

stock exchanges has declined by almost 50% from its peak in 1996, despite dramatic increase in aggregate market capitalization. firms gravitate towards digital strategies, firms have less need for elaborate finance, marketing, production, distribution, accounting, and human resource departments. Such acquisitions become more lucrative with rising first-mover advantages, pace of technological development, and network externality. westend61/Getty Images.

IPO 44

What Investors Need to Know About Zimbabwe After Mugabe

Harvard Business

This is promising for a market formerly dubbed the “breadbasket of Africa.” ” Once one of Africa’s most developed markets – with a solid education system, good infrastructure, and a relatively large middle class – decades of mismanagement have cost Zimbabwe. Mnangagwa’s first actions in office underscore how important he views economic recovery. ALEXANDER JOE/Getty Images.

NewTV Is the Antithesis of a Lean Startup. Can It Work?

Harvard Business

Because the amount of customer discovery and product-market fit you need to find is inversely proportional to the amount and availability of risk capital. Given the stock market was buying “the story and vision” of anything internet, inflated expectations were more important than traditional metrics like customers, growth, revenue, or, heaven forbid, profits. It has to find product-market fit before running out of cash. CSA Images/Colin McPherson/Getty Images.

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A Survey of 3,000 Executives Reveals How Businesses Succeed with AI

Harvard Business

Thirty percent of early AI adopters in our survey — those using AI at scale or in core processes — say they’ve achieved revenue increases, leveraging AI in efforts to gain market share or expand their products and services. Long-term: Work with academia or a third party to solve a high-impact use case (augmented human decision making in a key knowledge worker role, for example) with bleeding-edge AI technology to potentially capture a sizable first-mover advantage.

Strategic Choices Need to Be Made Simultaneously, Not Sequentially

Harvard Business

For example, Uber made a Where to Play choice that included China because it’s a huge and important market. Microsoft made a Where to Play choice to get into smartphone hardware (with its acquisition of Nokia’s handset business) because it was a huge and growing market, seemingly adjacent to Microsoft’s own, but it had no useful conception of how that would be twinned with a How to Win — and it lost spectacularly.

How Netflix Expanded to 190 Countries in 8 Years

Harvard Business

In the second quarter of 2018, its international streaming revenues exceeded domestic streaming revenues for the first time. It also must face a diverse set of national regulatory restrictions, such as those that limit what content can be made available in local markets. In France and India, for example, homegrown leaders offer local-language video content, thus depriving Netflix of first-mover advantage. Netflix did not try to enter all markets at once.

What Groupon and LivingSocial Cannot Offer

Harvard Business Review

LivingSocial is not the first to create a compelling coupon offer. That honor goes to the market leader, Groupon. Putting aside whether coupon sites are sustainable , all this begs the question of the value of buzz and being a first mover. But a new study shows that no amount of buzz, excitement or first mover's advantage will lead a product to sustained growth. Customers Customers Internet Marketing Marketing

Why Family Businesses Come Roaring out of Recessions

Harvard Business Review

Tobin’s q is the ratio between a company’s market capitalization and the replacement cost of its tangible assets, with a higher ratio indicating that a company has more intangible assets such as patents, brands, leadership etc., We also found three differences in marketing strategies, which may account for the performances of the two types of companies. Leadership Marketing

Microsoft’s Bid to Make Outlook More than Email

Harvard Business Review

Outlook’s market share still lags behind the default mobile email clients on iPhone, iPad, and Android. The good news for Microsoft is that it has a first-mover advantage, and can evaluate its platform partnerships to decide which third parties should be acquired, which should be exclusively available on Outlook, and which should be more tightly integrated.

The Hidden Costs of Initial Coin Offerings

Harvard Business

Blockchain startups raised over $5 billion in 2017 through ICOs and over $12 billion through the first three quarters of 2018. Those benefits fall into three categories: To jumpstart network effects that provide a first-mover advantage: Many of the projects being built using blockchain technology are “protocols” that govern the interactions between users in a decentralized autonomous network. Today, Ethereum’s market capitalization is $24 billion.

It's Time to Cut Back on Social Media

Harvard Business Review

Clearly there is a first mover advantage in some cases: Chris Brogan developed a passionate following as an early blogger, and Guy Kawasaki jumped onboard Twitter and became a powerhouse there. At the New Media Expo, I also interviewed Nick Harris, head of digital marketing for Benjamin Moore. I recently got back from the New Media Expo in Las Vegas.

Strategy and The Uncertainty Excuse

Harvard Business Review

They may be strategizing their way to first mover advantages and positions that leave few if any attractive options in the market. When I ask business executives about their company's strategy — or about an apparent lack thereof — they often respond that they can't or won't do strategy because their operating environment is changing so much. There isn't enough certainty, they argue, to be able to do strategy effectively.

What U.S. E-Commerce Can Learn from Its Global Copycats

Harvard Business Review

Every new market I look at seems to have an Amazon-style copycat — a website that looks, functions, and sells products a lot like a well-known online retailer. In India there''s Flipkart , in Russia there''s Ozon , and in Thailand, Indonesia, and other South East Asia markets there''s Lazada. I know about this kind of thing first-hand. We were unable to capitalize on first mover advantage.

Best Practices for Leading via Innovation

Harvard Business Review

Our study clearly shows that great leadership is a strong competitive advantage, with the top 20 BCL firms far outperforming the S&P 500 benchmark on shareholder returns. Toyota's decade-long investment in its Prius sub-brand ultimately succeeded in strengthening the company's reputation as a respected product innovator while allowing Toyota to capture first-mover advantage in the fast-growing hybrid category.

Structure Your Global Team for Innovation

Harvard Business Review

To ensure first mover advantage, the schedule was extremely aggressive. Each site involved in global innovation will see the project through the prism of its own contribution and context, rather than putting the bigger picture first. Or begin building a capability in global innovation now to take advantage of lower development costs, faster time to market, and, most important, the ability to leverage dispersed knowledge to gain competitive advantage.

Structure Your Global Team for Innovation

Harvard Business Review

To ensure first mover advantage, the schedule was extremely aggressive. Each site involved in global innovation will see the project through the prism of its own contribution and context, rather than putting the bigger picture first. Or begin building a capability in global innovation now to take advantage of lower development costs, faster time to market, and, most important, the ability to leverage dispersed knowledge to gain competitive advantage.

When to Change a Winning Strategy

Harvard Business Review

Its story starts like many success stories do: An innovative concept coupled with a first-mover advantage, enabling a rapid physical expansion and generating increasing returns to scale. And there was new domestic competition from stores like Target and Wal-Mart, as well as growth in emerging markets. The strategy had moderate success at first: Sales and assets grew gradually, while profitability remained stable and even grew slightly.

Four Ideas for Creating Mobile Strategy

Harvard Business Review

Mobile technology presents all marketers with a tantalizing proposition. The chance to tap into this ever-present and intimate consumer channel at such tremendous scale seems like a no-brainer for marketers. But marketing spend on mobile pales in comparison to time spent there by consumers. Even more challenging, especially for the ROI-driven marketer, is deploying a mobile strategy that moves the needle for the business in the near-term, but also anticipates the future.

The Health Care Industry Needs to Start Taking Women Seriously

Harvard Business Review

According to our report The Power of the Purse: Engaging Women Decision Makers for Healthy Outcomes , which was based on a multi-market survey of 9,218 respondents in the U.S., Women account for a significant chunk of the market. Fifty-nine percent of women in our multi-market sample are making health care decisions for others. The good news: By engaging this market segment and rebuilding trust, health care companies can have a first-mover advantage.

Growing, or Not, in an Age of Permanent Volatility

Harvard Business Review

In a recent Accenture study involving 1000 CFOs and CMOs across eight industries and a dozen countries in developed and emerging markets, 85 percent of executives expected their companies to grow at a rate equal to or significantly greater than global growth forecasts. Digging deeper provides a few more clues as to how executives expect to achieve this growth despite an apparently flagging market. Why is a growth market that "lifts all boats" so tough to imagine?

Business Model Innovation is the Gift that Keeps on Giving

Harvard Business Review

Within the first 5 years of its founding, Amancio Ortega, the founder of Zara figured out the responsiveness and speed were key to dominance in apparel retail as opposed to costs so Zara produced in expensive locations and used expensive shipping modes to react to trends faster. In contrast, consider the following: Pfizer's blockbuster drug Viagra was patented in 1996, and went on the market in 1998.

Which Nation Has the Best 'Technik'?

Harvard Business Review

Paul Kennedy's seminal Rise and Fall of the Great Powers captures the way technological and economic advances have converted into strategic advantage, and how failure to "lock in" that edge accelerates imperial decline. But America's edge is eroding fast as it struggles to keep first-mover advantage over its innovations. Five thousand years ago, use of the wheel began to spread from Mesopotamia across Eurasia, revolutionizing transport and enabling chariot warfare.