Thanks to Evan and Kasturi for a great empirical analysis: “Don’t Blame Your Company’s Poor Performance on Its Industry“, that shows that focus pays even in poor performing industries: “..the shareholder value return data over the long run make a pretty good case for staying put. Take your chances where the odds favour you: in your own industry, with customers you can get, using capabilities no one else can match.”
It is PSB-Management’s opinion that Blue Ocean Strategy©’s search for “uncontested market space” may not be the best option for already established businesses. Companies may utilize their resources more efficiently and increase their profitability by identifying and focusing on their current segments where they can fulfil important customer needs better than competition.
Contact PSB-Management to find out how we can help your company.