- Opinion & Analysis
- Read Time: 9 min
Products and markets with nothing in common “taxonomically” can have “thematic similarity,” which may open up important business opportunities.
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How do you ensure that your product stays relevant in the future? Reach out to the next generation of innovators. Several large companies are doing just that — as they attempt to encourage software start-ups to use their products and services.
Many studies have shown that the most treacherous time in the failure-strewn business of mergers comes after two companies tie the knot, when they attempt to combine operations. Surprisingly, however, they often destroy value not as a result of inattention to detail but through excessive zeal in their integration efforts.
In 1996, the browser wars became headline news. The conflict involved three of the most important companies of the early Internet era: Netscape, Microsoft and America Online. At stake was AOL’s choice of a browser for its online service, either Netscape’s Navigator or Microsoft’s Internet Explorer.
The information age has created a host of digitized products — in the realms of software, databases, music, videos and electronic books — that can be produced and distributed with low variable costs, resulting in high gross margins.
Successfully managing technological change involves the ability to improvise in response to unexpected opportunities. Organizational changes associated with technology implementation don’t have a beginning and an end; they are ongoing. The authors identify three types of change that build on each other over time. Two conditions that enable the use of an improvisational model are internal alignment and adequate resources.
THE APPROACHES FOR IMPROVING QUALITY IN MANUFACTURING PROCESSES DON’T WORK ESPECIALLY WELL FOR SOFTWARE DEVELOPMENT. THE AUTHORS provide a quality improvement paradigm for the software industry that builds on manufacturing models but focuses on reused learning and experience by establishing “experience factories.” Their iterative process enables an organization to acquire core competencies to support its strategic capabilities.
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