How Industries Evolve: Principles for Achieving and Sustaining Superior Performance
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FROM XEROX TO Enron, great companies have failed to translate extraordinary innovation into better profitability. Why does this happen? Anita M. McGahan argues that companies experience these failures when they break their industries' rules for how change can take hold. In this book, she shows how to develop a strategy that is aligned with the rules of industry change. By understanding and operating within the rules, executives can better appreciate the trade-offs that are unique to their companies' evolutionary path--and make more profitable strategic choices about R&D, alliances, internal venturing, leadership style, compensation, modularization, and time-to-market.
There are specific rules that govern how change can successfully occur in a given industry Companies whose growth strategies follow the rules of their industry succeed; those who break the rules fail. This book shows how to align strategy with the principles of industry change to achieve sustainable growth. Growth and innovation are essential for the long-term survival of every company and they are also the two arenas in which companies most consistently fail. This book offers a compelling reason for why this is happening and a breakthrough framework for turning it around.
