Blue Ocean Strategy
The magic formula for business development is to choose a set of simple effective marketing and sales tactics, or "things to do", and then do them on a consistent basis. Focused efforts require clear Goals and selected Strategies that can take you there. Reserach confirms there are no permanently excellent companies or industires. To improve results, you must study what made a positive difference in the past and strive to replicate it systematically.
Examples, Insights:
The U.S. Computer industry can be traced back to 1890 when Herman Hollerith invented the punch card tabulating machine to shorten the process of data recording and analysis for the U.S. Census. The tabulator completed the census five years earlier than the preceding census but it was expensive, difficult to use, and required constant upkeep. There was no market for tabulators in business settings. Data processing was accomplished with pencils and ledgers that were easy to use, inexpensive, and accurate. Thomas Watson, an executive at National Cash Register Company recognized there was an enormous untapped demand to help business improve their inventory and accounting methods. Under Watson, tabulators were simplified and modularized and education, maintenance, and vendor leasing was provided. Business could get the speed and efficiency of tabulators without the need to hire specialists and train employees while avoiding high capital expenditures. Vendor leasing provided a recurring revenue stream and IBM was born.
Fast forward to Steve Jobs and Apple Computer. Steve, in a 1994 interview with PBS provided the following insight: "When you grow up you tend to get told the world is the way it is and your purpose is just to live your life inside the world. Try not to bash into the walls too much. Try to have a nice family life, have fun, save a little money. That's a very limited life. Life can be much broader when you discover one simple fact, and that is everything around you that you call life was mad by people that were no smarter than you. And you can change it, you can influence it, you can build your own things that other people can use. Once you learn that you'll want to embrace it, change it, improve it.
Every great strategy has a focus. Southwest Airlines emphasizes only three factors: friendly service, speed, and frequent point to point departures. Focusing this way has allowed Southwest to price against car transportation; it doesn't invest in meals, lounges, and seating choices. Their competitors continue to invest in all the Airline industry's traditional competitive factors resulting in more costly business models serving a completely different market.
Visualizing where you would like to be is a forceful wake up call. Developing a 'strategy canvas' helps predict and plan your future. What you can visualize, you can achieve. Identify the activities that will take you there. Being proactive is the best way to ensure your future. Some say the future cannot be predicted. Others say the only way to predict the furutre is to create it!
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We provide peace of mind by creating and managing structures that allow you to grow and protect your business, legacy, and personal wealth. "Where you'll be tomorrow, depends on what you do today."
Lechner Law Office, P.C.
Law and Professional Center
Orland Hills, Illinois 60487-4623
Paul Lechner Esq., CPA
Office: 708.460.6686
The Lechner Group, Ltd.
Business Advisory Services
The Lechner Group, Ltd. is a public accounting and business consulting firm focused on business counsel, transactional diligence, and tax advisory services. We add value to your business strategies by providing a combination of financial, audit, and tax expertise. Combined with legal services (which are provided separately by the Lechner Law Office, P.C.) we offer privately held business owners an attractive package of comprehensive services.
Find out more by calling Paul Lechner at 708.460.6686.
