Netflix shares continue to rise despite management stating costs will rise as will borrowing. All this to create more content
So let’s think this through… how will Netflix make a profit
1. Not gonna happen, shareholders benefit from increasing valuation- smoke & mirrors like Amazon
2. Let’s get more subscribers- sure but there is a finite number of people to watch.… Read more
The traditional principles of strategy dictate you should strive to be distinctive from your competitors and separate yourselves from them in the minds of your customers.
Dollar-shave – the online home delivery shaving company- is clearly distinctive to the number one shaving company Gillette which sells through stores. And dollar-shave has used this distinctiveness ( and the resulting lower price) to carve s profitable niche in men’s shaving.… Read more
I’ve recently seen in the Harvard Business review that strategy execution is a people problem, not a strategy problem.
And I disagree with this.
The implementation of strategy is inextricably part of that strategy. A strategy that can’t be implemented or a strategy that is poorly implemented is to me a poor strategy. Thinking through the execution phase is an important part of strategic thinking. … Read more
In the digital world, your consumers can’t help but shop around.
Regrettable, but true… loyalty is down, but not out.
The past few years have seen exponential growth in tools that have made researching and purchasing products online vastly easier. We’ve seen an explosion of mobile shopping apps that showcase options, simplify pricing, compare product specifications, and facilitate peer reviews that make switching brands easier.… Read more
It’s called the celery test, and it was described (memorably, if poorly) by Simon Sinek.
The analogy is this ; you go to a dinner party and someone says to you, “You know what you need in your business? Oreo cookies. If you’re not implementing Oreo cookies in your business, I’m telling you, you’re leaving money on the table. The next person you meet tells you: “Rice milk.… Read more