Value Innovation

Value Innovation: The Strategic Logic of High Growth
What separates high- step-up companies from the claim is the way managers desexualise sense of how they
do business
After a decade of downsizing and increasingly intense competition, profitable growth is a tremendous challenge many
companies face. Why do roughly companies achieve sustained high growth in two revenues and profits? In a five -year
study of high-growth companies and their less(prenominal) successful competitors, we found that the answer lies in the way each
mathematical group approached strategy. The difference in approach was not a subject area of managers choosing one analytical tool or
planning model all over another. The difference was in the companies fundamental, implicit assumptions about
strategy. The less successful companies took a conventional approach: their strategic thinking was dominated by the
idea of staying ahead of the competition. In stark contrast, the high-growth companies paid teentsy attention to
matching or beating their rivals. Instead, they sought to make their competitors contrasted through a strategic logic
we call nourish innovation.
Consider Bert Claeys, a Belgian company that operates movie theaters. From the mid-sixties to the 1980s, the movie
theater industry in Belgium was declining steadily.



With the spread of videocassette recorders and satellite and cable
television, the reasonable Belgians moviegoing dropped from eight to two times per year. By the 1980s, many cinema
operators (COs) were agonistic to shut down.
The COs that remained found themselves competing head-to-head for a fall market. All took similar actions.
They turned cinemas into multiplexes with as many as ten screens, broadened their film offerings to attract all
customer segments, expanded their forage and drink services, and increased showing times.
Those attempts to leverage existing assets became irrelevant in 1988, when Bert Claeys created Kinepolis. Neither an
ordinary cinema nor a multiplex, Kinepolis is the worlds first...If you want to get a full essay, order it on our website: Ordercustompaper.com



If you want to get a full essay, wisit our page: write my paper