Competition →
- 04 Sep 2013
- What Do You Think?
How Relevant is Long-Range Strategic Planning?
Summing Up: Jim Heskett's readers argue that long-range planning, while necessary for organizational success, must be adaptable to the competitive environment. What do YOU think? Open for comment; 0 Comments.
- 26 Aug 2013
- Lessons from the Classroom
Built for Global Competition from the Start
Building a startup as a global business requires managers with skills and strategy much different from their predecessors of even a generation ago, says William R. Kerr. Closed for comment; 0 Comments.
- 06 Feb 2012
- Research & Ideas
Kodak: A Parable of American Competitiveness
When American companies shift pieces of their operations overseas, they run the risk of moving the expertise, innovation, and new growth opportunities just out of their reach as well, explains HBS Professor Willy Shih, who served as president of Eastman Kodak's digital imaging business for several years. Key concepts include: Outsourcing ends up chipping away at America's "industrial commons"—the collective R&D, engineering, and manufacturing capabilities that are crucial to new product development. If the United States wants to keep from slipping any further in its ability to compete on the industrial stage, the government must increase its support of scientific research and collaborate with the business and academic world. Open for comment; 0 Comments.
- 08 Aug 2011
- Research & Ideas
The Death of the Global Manager
The "global manager" was a coveted job description sought by many leaders for many years, but times have changed—now we are all global managers, says Harvard Business School professor emeritus Christopher A. Bartlett, coauthor of the classic business book Transnational Management. He reexamines the ever-changing nature of running multinational corporations while confirming that, six editions and 20 years later, some challenges remain the same. Key concepts include: Multinational corporations must pursue three core strategies to build layers of competitive advantage: exploit worldwide operations to build global scale efficiency; develop sensitivity and responsiveness to national differences; and leverage the world for information, knowledge, and expertise. The organizational capability of a company to rapidly develop and diffuse innovation is incredibly important but difficult to cultivate. The term "global manager" is a misnomer—we all operate in a global environment. Closed for comment; 0 Comments.
- 16 May 2011
- Research & Ideas
What Loyalty? High-End Customers are First to Flee
Companies offering top-drawer customer service might have a nasty surprise awaiting them when a new competitor comes to town. Their best customers might be the first to defect. Research by Harvard Business School's Ryan W. Buell, Dennis Campbell, and Frances X. Frei. Key concepts include: Companies that offer high levels of customer service can't expect too much loyalty if a new competitor offers even better service. High-end businesses must avoid complacency and continue to proactively increase relative service levels when they're faced with even the potential threat of increased service competition. Even though high-end customers can be fickle, a company that sustains a superior service position in its local market can attract and retain customers who are more valuable over time. Firms rated lower in service quality are more or less immune from the high-end challenger. Closed for comment; 0 Comments.
- 28 Mar 2011
- Research & Ideas
Why Manufacturing Matters
After decades of outsourcing, America's ability to innovate and create high-tech products essential for future prosperity is on the decline, argue professors Gary Pisano and Willy Shih. Is it too late to get it back? From HBS Alumni Bulletin. Closed for comment; 0 Comments.
- 03 May 2010
- Research & Ideas
What Is the Future of MBA Education?
Why get an MBA degree? Transformations in business and society make this question increasingly urgent for executives, business school deans, students, faculty, and the public. In a new book, Rethinking the MBA: Business Education at a Crossroads, Harvard Business School's Srikant M. Datar, David A. Garvin, and Patrick G. Cullen suggest opportunities for innovation. Q&A with Datar and Garvin plus book excerpt. Key concepts include: Executives and business school deans raised multiple concerns about the MBA landscape when the authors interviewed them for an HBS Centennial colloquium in 2008 on the future of MBA education. The challenges: Stakeholders question the value-added of MBA degrees. And MBAs lack sufficient leadership development, a "global mindset," and skill in navigating organizational realities. Rethinking the MBA examines each challenge in turn, and provides six case studies of schools that demonstrate flexibility and innovation in MBA education. Closed for comment; 0 Comments.
- 01 Mar 2010
- Op-Ed
A Golden Opportunity for Ford and GM
With Toyota caught in a downshift, competitors should make aggressive moves to capitalize, says HBS professor Bill George. For starters, they need to improve their auto lineups for the long term. He explains how Ford and GM can best navigate the industry landscape ahead. Key concepts include: For U.S. automakers to accelerate production while Toyota remains wounded is not a long-term strategy for success. The companies should cut costs while simultaneously transforming their organizations and revamping product lineups. Ford and GM could secure market share gains by investing windfall profits into making products more competitive for the next decade. In this regard, Ford has the jump on GM. Chrysler is missing a golden opportunity to revamp, reposition, and reorganize. Closed for comment; 0 Comments.
- 24 Nov 2009
- Working Paper Summaries
From Strategy to Business Models and to Tactics
Drivers such as globalization, deregulation, or technological change, just to mention a few, are profoundly changing the competitive game. Scholars and practitioners agree that the fastest-growing firms in this new environment appear to have taken advantage of these structural changes to compete "differently" and innovate in their business models. However, there is not yet agreement on what are the distinctive features of superior business models. This dispute may have arisen, in part, because of a lack of a clear distinction between the notions of strategy, business model, and tactics. HBS professor Ramon Casadesus-Masanell and Joan Enric Ricart present an integrative framework to distinguish and relate the concepts of business model, strategy, and tactics. Key concepts include: An integrative framework that cleanly separates the realm of business model, strategy, and tactics will help guide the search for novel, interesting, and profitable new ways to compete. "Business model" refers to the logic of the firm, the way it operates, and how it creates value for its stakeholders. "Strategy" refers to the choice of business model through which the firm will compete in the marketplace. "Tactics" refers to the residual choices open to a firm by virtue of the business model that it employs. Closed for comment; 0 Comments.
- 31 Aug 2009
- Research & Ideas
Why Competition May Not Improve Credit Rating Agencies
Competition usually creates better products and services. But when competition increased among credit rating agencies, the result was less accurate ratings, according to a study by HBS professor Bo Becker and finance professor Todd Milbourn of Washington University in St Louis. In our Q&A, Becker discusses why users of ratings should exercise a little caution. Key concepts include: Competition in credit ratings forces raters to favor issuers. This is contrary to the interest of those who rely on ratings to make investment decisions or to regulate. There are 10 nationally recognized statistical ratings organizations. The big 3 are Fitch, Standard and Poor's (S&P), and Moody's. Fitch used to be much smaller, but over the past decade has become a peer of S&P and Moody's. Becker and Milbourn used the appearance of Fitch to test for the effect of competition on corporate bond ratings. Policymakers should proceed cautiously when trying to increase competition among raters, and be aware of the potential drawbacks. If you really want to know the value of a security, there is no shortcut to doing the work yourself. Closed for comment; 0 Comments.
- 15 Jun 2009
- Research & Ideas
GM: What Went Wrong and What’s Next
For decades, General Motors reigned as the king of automakers. What went wrong? We asked HBS faculty to reflect on the wrong turns and missed opportunities of the former industry leader, and to suggest ideas for recovery. Closed for comment; 0 Comments.
- 28 May 2009
- Working Paper Summaries
Monopolistic Competition Between Differentiated Products With Demand For More Than One Variety
How and when is price competition most significant among firms? This paper develops a theoretical framework for studying price competition between multiple firms. Two examples of markets that fit the description for study are software applications and videogames: There are thousands of software applications as well as games, and different users are interested in different applications and/or games. A given software or game user's tastes may overlap with another's, yet they may have nothing in common with a third's. Thus, although there is a sense in which competition is localized (any given firm competes only with firms whose brands are similar to its own), it is not clear how the fact that consumers are generally interested in purchasing multiple products affects the type of competition waged among firms. Key concepts include: This paper proposes a theoretical framework for studying competition between differentiated products when consumers are interested in purchasing more than one brand. Closed for comment; 0 Comments.
- 10 Jan 2008
- Sharpening Your Skills
- 31 Aug 2007
- Working Paper Summaries
Innovation through Global Collaboration: A New Source of Competitive Advantage
Collaboration is becoming a new and important source of competitive advantage. No longer is the creation and pursuit of new ideas the bastion of large, central R&D departments within vertically integrated organizations. Instead, innovations are increasingly brought to the market by networks of firms, selected according to their comparative advantages, and operating in a coordinated manner. This paper reports on a study of the strategies and practices used by firms that achieve greater success in terms of business value in their collaborative innovation efforts. Key concepts include: Consider the strategic role of collaboration, organize effectively for collaboration, and make long-term investments to develop collaborative capabilities. Successful firms found that attention to these 3 critical areas generated new options to create value that competitors could not replicate. Successful firms went beyond simple wage arbitrage, asking global partners to contribute knowledge and skills to projects, with a focus on improving their top line. They redesigned their organizations to increase the effectiveness of these efforts. Managing collaboration the same way a firm handles the outsourcing of production is a flawed approach. Production and innovation are fundamentally different activities and have different objectives. Closed for comment; 0 Comments.
- 06 Jun 2005
- Research & Ideas
Microsoft vs. Open Source: Who Will Win?
Using formal economic modelling, professors Pankaj Ghemawat and Ramon Casadesus-Masanell consider the competitive dynamics of the software wars between Microsoft and open source. Read our interview. Closed for comment; 0 Comments.
- 09 Aug 2004
- Research & Ideas
A Diagnostic for Disruptive Innovation
You have three potential innovations, but resources to develop just one. Here are diagnostics to help you make the best decision. From Strategy & Innovation newsletter. Closed for comment; 0 Comments.
- 19 Jul 2004
- Research & Ideas
Your Customers: Use Them or Lose Them
Companies can differentiate on service profitably, says HBS professor Frances X. Frei. Here's how a new-thinking bank, insurance provider, and software company are using customer power to win. Closed for comment; 0 Comments.
- 12 Apr 2004
- Research & Ideas
Operations and the Competitive Edge
Many managers expect operations organizations to fulfill only a support role. But an effective operations strategy can give you a competitive advantage. An interview with professor Robert Hayes. Closed for comment; 0 Comments.
- 16 Apr 2001
- Research & Ideas
Strategy and the Internet
Don't throw the strategy baby out with the Internet bath water. In this Harvard Business Review article, HBS professor Michael E. Porter urges business planners not to lose focus on strategic development and competitive advantage, but to recognize the Internet for what it is: "an enabling technology." Closed for comment; 0 Comments.
Is Leadership an Increasingly Difficult Balancing Act?
Summing Up: Do we long for the days of the conventional authority figure? Jim Heskett sums up this month's column. Closed for comment; 0 Comments.