Home Add to Favorite Contact Submit  
             31 October, 2020
 

    
Category:  Articles » Business » Change Management

 

Evolution of Industry – How an Industry Changes Itself

Popularity:
         Views: 1313
2006-09-30 01:39:29     
Article by Andy Mann

Change is the only thing permanent goes the old cliché and one can’t make important decision in the business until and unless one get to know the nature and pace of change in the industry. Each industry has its own rate and way of evolving. While in technology Business models can become redundant in a quarter, old companies are using tried and trusted business models for over several decades.

The need to understand the change in market seems obvious but such knowledge not always easy to come by. Japanese companies failed to understand the advent of microprocessor as the dominant product and kept focusing on making the silicon chips cheaper. Small retailers failed to under the real impact of Wal-Mart moving into neighborhoods. With in a decade Wal-Mart changed the face of retailing in America running established players like K-Mart into bankruptcies.

To understand where your Industry is heading you have to shut the noise from immediate competitors and popular beliefs and take a long term view of things. The most pertinent question which most companies should ask is what business they are in. Because if you don’t know what business you are in then there are even lesser chances of understanding how it will change and evolve.

According to Professor Anita M. McGahan of Boston University’s School of Management there are four trajectories of change in an industry. These four trajectories are guided by two types of threat of obsolescence. First is threat to Industry’s Core activities – activities that historically generated profit for the industry. Second is the threat to industry’s assets like resources, knowledge and brand capital which made organization with in the industry unique.
Radical Change
Radical Transformation occurs when both the core activities and core assets are threatened by obsolescence.
Intermediating Change
Intermediate transformation occurs when buyers and suppliers have new options because they have gained unprecedented access to information.
Creative Change
In industries of creative change the customers and suppliers are generally stable but asset turnover is constant.

Print article      Bookmark this page
Related Articles 
21st Century Leadership - How to keep work flowing to achieve business goals (Popularity: ): A common question asked by leaders is "How can I overcome blockages that reduce the likelihood that my goals will be achieved?" In most cases, these blockages are caused by people who don't know they need to do something or don't understand the importance of something they need to do. The irony of these blockages is that the people causing them want to do a good job and don't want to ...
21st Century Leadership - Making it easy for followers (Popularity: ): The best leaders make it easy for people to follow them. People follow leaders who provide clear direction by making it easy to know what is happening, and what they need to do, when and with whom.Leaders need people to work together to achieve business goals. In the past, web and mobile technology was not a significant tool for leaders.However advances in web and mobile technology can now make it ...
21st Century Management - Where everyone manages (Popularity: ): In the 20th century, management was largely handled by managers and supervisors who communicated with the people doing the work. In most cases, workers were responsible for managing their own time to get work done.Near the end of the 20th century, globalization, developments in technology and outsourcing caused managers to start looking for management solutions that can operate both within and beyond their organization. At lot of solutions were proposed, ...
Work Management is now available to everyone (Popularity: ): Work management is an essential subset of management used to get work done. Typical work management activities are: • Managing goals • Sorting out relevant tasks • Planning tasks • Organizing work • Managing meetings • Involving people outside your work teams • Keeping stakeholders informed • Coordinating work and teams • Creating ToDo lists • Reporting Progress • Managing personal and team timeMajor constraints on Work Management While intensively studying how people actually (naturally) work together to get work done, we ...
Work Networking - The easy way to manage work (Popularity: ): Social networking has revolutionized the way people can find out what is happening outside work. Work networking will revolutionize the way people find out what is happening at work. In most workplaces, people find out what is happening, and what they need to do for relevant tasks, through networks of people around those tasks. These people networks keep the work flowing. Some innovative managers have tried to employ social networking ...


Related Business 
New Zealand Seafood Industry (Popularity: ): Promotes the interests of all sectors of the fishing industry. Provide economic information and advice, co-ordination of industry resources, and enhancement of the industry's profile in the community.
Smart Evolution (Popularity: ): Produces industrial automation software for engineering wood industry
K.S Super Chem Products: Sodium Metabisulphite Manufacturer (Popularity: ): K.S Super Chem Products (P) Ltd. is one of the reputed Manufacturers, Suppliers, and Exporters of Chemicals including Sodium Metabisulphite, Sodium Sulphite, and Sodium Bi Sulphite Powder. These products are processed in accordance with international quality standards to meet the diverse industrial requirements. Our products are high on demand in Leather Industry, Textile Industry, Pharmaceuticals Industry, Wool Industry, Food Industry, Automobile Industry, and Paper & Pulp Industry.
Johnson Well Equipment, Inc. (Popularity: ): Water well industry screen filter manufacturing - applications include Residential Wells; Pumping Equipment Industry; Agricultural Irrigation; Well Monitoring Systems; Water Well Industry & Drilling Industry.
Aluminium Die Casting Manufacturer (Popularity: ): Endurance empowers the needs of the Indian Automotive Industry. Endurance owes it's leading position in the Automobile Industry to it's strong focus on Technologies. This focus has driven the company to set up World – Class Manufacturing Units with state-of-the-art Technology at major auto hubs. Every stage of product evolution – Design, Development, Manufacturing, Assembly and Quality Control is carried out in a meticulous manner.
Industry Bluebook (Popularity: ): Detailed directory of suppliers to the hospitality and food service industry in New York. Free copies for industry members.
Banking Industry News Online (Popularity: ): When it is about niche news, there is very little that is useful on general news websites. Get detailed news of the banking industry at News About Banking Industry, the best place to get updated news and articles on finance and banking industry for business professionals. We take pride in being one of the most reliable and dependable banking industry news website.
The Association of Suppliers to the Paper Industry (Popularity: ): Trade organization for the pulp and papermaking industry. Searchable member company directory. Links to industry resources.
US Machine Controls, Inc (Popularity: ): Designs and manufactures customized control panels for manufacturing plants, the water treatment industry, the epoxy and polyurethane industry and the pharmaceutical industry.
AdvanceTech Monitor (Popularity: ): Provides information on business and technology issues. Develops product portfolios including industry reports, customized industry studies and industry events.