Break From the Pack: How to Compete in a Copycat Economy

Overview

Everywhere, products are being commoditized, services are being imitated, and traditional barriers to market entry are collapsing. To sustain competitive advantage in today's Copycat Economy, companies must break from the pack. This book will show how. Oren Harari starts by touring "Commodity Hell," and identifying 10 common mistakes that keep companies trapped in the pack. Next, Harari introduces six strategies for propelling your organization where competitors can't follow. Learn how to dominate markets (and ...

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Break From the Pack: How to Compete in a Copycat Economy

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Overview

Everywhere, products are being commoditized, services are being imitated, and traditional barriers to market entry are collapsing. To sustain competitive advantage in today's Copycat Economy, companies must break from the pack. This book will show how. Oren Harari starts by touring "Commodity Hell," and identifying 10 common mistakes that keep companies trapped in the pack. Next, Harari introduces six strategies for propelling your organization where competitors can't follow. Learn how to dominate markets (and when to leave them); how to create a "higher cause" that will mobilize stakeholders; and how to build a pipeline of cool, compelling products, in any industry. Harari reveals new ways to take customers far beyond mere "satisfaction," and shows how to innovate in even the most prosaic areas of a business. Learn how to avoid destructive mergers, and buy what really matters: talent, imagination, foresight, speed, rebelliousness, and inspiration. Finally, Harari offers a candid "12 Step" program for transforming leadership behavior to lead the charge -- and leave competitors in the dust.

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Editorial Reviews

From the Publisher

More often than not, companies face the challenge of differentiating themselves from each other–a tricky process, but one that can be accomplished through careful planning, Harari promises. Focusing on exposure and profitability, he proposes a four-pronged process for moving into the lead, including having a contrarian mindset, a willingness to cast aside perceptions, exceptional follow-through and disciplined focus, and integrity and courage. While acknowledging that it's easy to be ahead one moment and behind the next, he also observes that if your products become irrelevant, then your company will, too. To avoid that fate, he points to the Madonna Effect, reasoning that the pop star has had such a sustainable career because she has continually reinvented herself for two decades, and that regularly reinventing your business can provide similar effects for your company. He also advocates the Willie Nelson Principle: jumping in front of a movement that is already successful, re-creating it for your own advantage and leading from there. While he isn't alone in his major emphasis–that "to break from the pack, you must dominate some significant area of the market"–his primer offers many useful, concrete tools for doing it.

--Publisher's Weekly, June 19th Edition

Publishers Weekly
More often than not, companies face the challenge of differentiating themselves from each other-a tricky process, but one that can be accomplished through careful planning, Harari promises. Focusing on exposure and profitability, he proposes a four-pronged process for moving into the lead, including having a contrarian mindset, a willingness to cast aside perceptions, exceptional follow-through and disciplined focus, and integrity and courage. While acknowledging that it's easy to be ahead one moment and behind the next, he also observes that if your products become irrelevant, then your company will, too. To avoid that fate, he points to the Madonna Effect, reasoning that the pop star has had such a sustainable career because she has continually reinvented herself for two decades, and that regularly reinventing your business can provide similar effects for your company. He also advocates the Willie Nelson Principle: jumping in front of a movement that is already successful, re-creating it for your own advantage and leading from there. While he isn't alone in his major emphasis-that "to break from the pack, you must dominate some significant area of the market"-his primer offers many useful, concrete tools for doing it. (Sept. 22) Copyright 2006 Reed Business Information.
Soundview Executive Book Summaries
Everywhere, products are being commoditized, services are being imitated, and traditional barriers to market entry are collapsing. You can't survive on "me-too" products, services and business models, and the ever-popular "all things to all people" approach will fail you every time.

To sustain a competitive advantage in today's "Copycat Economy," you must break from the pack. Companies that break from the pack take customers far beyond mere satisfaction. These companies tend to go beyond the mission statement to a "higher cause." They build a pipeline of cool, compelling products and always manage to stay way ahead of their industries.

In every industry, a very small number of organizations are fast, fit, healthy and clearly at the forefront. They are followed by a few pretty good wannabes nipping at their heels. These groups are clearly ahead of "the pack" — that large, undifferentiated bulk of companies of all shapes and sizes that don't stand out and don't draw the kind of positive attention from customers and investors that they'd like.

Anyone Can Break Away
Any organization can successfully bust loose in any direction from the round-and-round-we-go pack mentality, as long as that direction has a radically compelling value proposition, hard economic logic and fast efficient execution.

The bad news is that in a global free market, the pack is bigger than ever before — and continues to get bigger as the race progresses! The pack grows, more players run earnestly, the racers constantly check each other out, and they mimic each other's movements.

The result is the Copycat Economy, an arena marketed by "me-too" mimicry and lots of commoditized products and services. As a leader, helping your organization stand out and win in a Copycat Economy is the most important strategic challenge you will face during the remainder of this decade.

The compulsion to ask customers what they want can leave you reactive and fossilized. Breaking from the pack requires you to lead customers to a place they didn't ask to go and didn't know existed.

Market leaders who break from the pack pull the customer to new places. They don't simply respond to the consumer: They take some chances that push them past their market research. Before Starbucks, how many consumers would have assured Howard Schultz they would stand in line to spend $4 for a cup of coffee in a paper cup?

Dominate or Leave
In today's Copycat Economy, you must choose your markets, products and customers very carefully, then go in with tremendous creative and productive force until you dominate the arenas you've selected. The implications are twofold: One, don't enter any space you're not prepared to dominate. Two, once you figure out what you will dominate, exit everything else. Period.

"One-stop-shopping" should be eliminated from corporate strategy sessions; the phrase is diabolical, making otherwise sensible executives salivate with infantile glee. Their eyes glaze as they visualize hordes of customers. However, to challenge the famous Field of Dreams dictum, if you keep on building it, they probably won't come. And then you're stuck with a big stadium.

Apart from those darn customers who insist on making their own decisions, there's another reason why "one-stop-shopping" is a fantasy. No matter what your consultants and investment bankers tell you, you can't be great in everything, you can't do it all, and if you try to do it all, you'll wind up with a big diversified menu of undistinguished "me-too" products and services, while dominating nothing.

You, the Leader of the Pack: A 12-Step Recovery Program
To add some serious value to both your organization and your career prospects, you will need to move beyond nostrums. You will need to get down to the bare-knuckles basics of leadership. This "12-Step Program" is designed to put you on the path to success.

Step 1: First, Admit You're a Commodity

Step 2: Take a Risk on Risk

Step 3: Set "The Way"

Step 4: Believe that Customers are More Important Than Investors and Employees

Step 5: Unleash Talented Maniacs

Step 6: Rev Up Your Base

Step 7: Get Personally Engaged

Step 8: Lead From a Glass House

Step 9: Honor a Minimal Number of Priorities

Step 10: Team Up with Aliens

Step 11: Lead from the Middle

Step 12: Know When to Hold, Know When to Fold Copyright © 2006 Soundview Executive Book Summaries
—Soundview Summary

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Product Details

  • ISBN-13: 9780131888630
  • Publisher: FT Press
  • Publication date: 9/7/2006
  • Edition description: 1ST
  • Pages: 299
  • Product dimensions: 6.22 (w) x 9.26 (h) x 1.13 (d)

Meet the Author

In 2002, Oren Harari was selected by the London Financial Times and Prentice Hall as one of “the world’s greatest management thinkers” and was featured with 39 other prominent individuals in the book Business Minds. For the last 25 years, as a leading author, lecturer, and consultant, he has presented provocative new perspectives on competitive advantage, organizational change, and transformational leadership.

In his books, articles, and blogs, Harari debunks conventional approaches to management and describes the strategic decisions and leadership behaviors that actually do propel organizations into a successful position of competitive advantage. His 2002 book The Leadership Secrets of Colin Powell (McGraw-Hill, 2002) reached the best-seller lists of The New York Times, BusinessWeek, and The Wall Street Journal. Other books that he has authored or co-authored have achieved bestseller status and numerous accolades, including BeepBeep! Competing in the Age of the Roadrunner (Warner Books, 2000), Leapfrogging the Competition: Five Giant Steps to Becoming a Market Leader (Prima Publishing, 1999), and Jumping the Curve: Innovation and Strategic Choice in an Age of Transition (Jossey-Bass, 1994).

Harari has contributed to many publications, including Harvard Business Review, Business Strategy Review, California Management Review, and Industrial Relations, as well as numerous nonacademic publications. He was the senior monthly columnist for Management Review from 1991 to 2000, and for the following two years he was the lead weekly columnist for the online magazine Mworld.org, the American Management Association’s informational website for the management community. Currently, he is on the editorial board of the Journal of Managerial Issues.

He served as a senior consultant with the Tom Peters Group from 1984 to 1996, and, in 1997 and 1998, he was the first designated “management expert” for Time Vista, Time magazine’s direct resources interactive website for businesses around the world. Over the past decade, he has served on the board of directors of several entrepreneurial technology start-ups. He is currently a member of the U.S. State Department’s Advisory Committee on Management and Leadership, as well as one of the founding members of The Integrity Institute, which is dedicated to elevating the standards of integrity for corporations and capital markets.

Oren Harari has addressed and consulted with premier corporations and senior government groups around the world. He received his Ph.D. from the University of California, Berkeley, and currently teaches in the MBA and executive MBA programs at the University of San Francisco.

For more information on Oren Harari, please visit www.harari.com.

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Table of Contents

Prologue 1

Part I Resisting the Pull of the Pack

Chapter 1 Welcome to Commodity Hell: The Perils of the Copycat Economy 15

Chapter 2 How to Lose: Ten Compulsions Guaranteed to Keep You Mired in the Pack 37

Chapter 3 The Madonna Effect and the Willie Nelson Principle: The Power of Calculated Reinvention 63

Chapter 4 Curious, Cool, and Crazy: Building a Culture of Disciplined Lunacy 85

Part II How to Break from the Pack

Chapter 5 Dominate or Leave 107

Chapter 6 Put the Pieces Together for a Higher Cause 133

Chapter 7 Build a Defiant Pipeline 155

Chapter 8 Take Your Customer to an Impossible Place 177

Chapter 9 Take Innovation Underground 201

Chapter 10 Consolidate for Cool 225

Part III How You Can Lead the Pack

Chapter 11 You, the Leader of the Pack: A 12-Step Recovery Program 253

Epilogue 283

Index 287

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Sort by: Showing 1 Customer Reviews
  • Anonymous

    Posted May 10, 2007

    A game plan for creating standout products and profits

    The modern workplace is a complex jigsaw puzzle with international pieces, quick-change technology and oddly shaped commodities. It's hard to comprehend or complete the global economic enigma, but Oren Harari offers crucial elements of the workplace puzzle. With precision and real-life examples, Harari explains how employees and executives can succeed in a 'copycat economy' dominated by imitators, pretenders and pirates. He offers vision and practical tips, though some corporate examples, such as his praise of JetBlue ¿ which is now well-established ¿ seem a little forced or dated in this otherwise timely text. The book can be repetitious in sections, but some points are worth repeating and this analysis is well worth reading. We highly recommend it to executives, investors and mid-level employees.

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