The Master of Innovation Speaks: Apple on Apple

January 24, 2012 in Critical Success Factors, Customer Behavior, Ideas, Product/Market Fit

The June 9, 2007 issue of the Economist ran an article titled “How does Apple do it?” After many had left it for dead a decade ago, this is the company that sets the pace in the consumer electronics industry. The article highlighted two main development strategies: First, Apple looks both within and outside its walls for new product ideas, an approach referred to as “network innovation.” The iPod, a notable example, was the brainchild of a consultant that Apple hired to run a project; not an employee. Second, Apple is obsessed about looking at new concepts through the eyes of its customers. Everybody gives testament to the importance of this commitment, but few live it. “If we build it they will come” is a sure path to failure.

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Unbundled: mixing core competencies to create a unique brand

October 31, 2011 in Business Models, Critical Success Factors, Differentiation

According to Alexander Osterwalder and Yves Pigneur in their book Business Model Generation, the concept of the “unbundled” brand begins with the definition of three generic business strategies

  1. Product Innovation businesses
  2. Customer Relationship businesses
  3. Infrastructure Management businesses

Osterwalder and Pigneur characterize each strategy by its economic, competitive and cultural imperatives: Read the rest of this entry →

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Apple’s Core Rules

October 20, 2011 in Critical Success Factors, Innovation, Thought Leaders

Several years ago, The Economist ran an article titled “Lessons from Apple.” Left for dead a decade earlier, the company now sets the pace in the consumer electronics industry. The article highlighted four main strategies it used to establish leadership:

  1. It looks freely outside its walls for new product ideas, an approach referred to as “network innovation.”
  2. It orients product design around the needs of its users, rather than technology.
  3. It seems particularly gifted at knowing when to ignore market input and go with its gut—even in the face of criticism. Apple was ridiculed when the iPod launched, for example.
  4. And, it is able to “fail wisely,” as the authors put it: use mistakes to learn, and then move on.
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