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The Profit Zone: How Strategic Business Design Will Lead You to Tomorrow's Profits Paperback – February 26, 2002
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For years, the prevailing wisdom in business was that profitability was a byproduct of market share; get the biggest piece of the market and profit will surely follow. But in the last 10 years, this formula has time and again proved itself wrong. Companies such as DEC, GM, Ford, United Airlines, Kodak, and Sears have all demonstrated that market share does not necessarily lead to profitability.
The Profit Zone looks at how profit happens in today's customer-driven economy. The authors demonstrate why market share often leads to a "no-profit zone" and identify 22 profit models that have helped dozens of companies consistently make money. Included are in-depth looks at companies--Disney, GE, Microsoft, Intel, Charles Schwab--that have successfully redesigned their businesses and dramatically increased the value of their companies. Instead of focusing on market share, these innovators first looked at their customers' needs and how they could profit from fulfilling them. The book considers example after example of how the profit zone works, from Disney's theme parks to Schwab's marketing and selling of mutual funds. The final chapter is a handbook that allows managers to apply the ideas to their own companies. Clearly written and immensely practical, The Profit Zone deserves a place on every manager's bookshelf. --This text refers to the Hardcover edition.
From Library Journal
Slywotsky (Value Migration, McGraw-Hill, 1995) and Morrison, partners in a management consultancy, offer a number of insights into corporate strategy, presenting a theoretical framework that crosses a number of enterprise sectors and employs a number of specific strategies. The authors point out that market share, once the sine qua non, can no longer be equated with profitability. For the authors, profitability today comes when organizations move from a value chain based on core competencies to one based on consumer priorities. This work has a textbooklike feel; besides defining 22 specific profit models, it details how a number of successful companies from SMH (Swatch and Omega watches) to Coca-Cola and Microsoft employ strategies either singularly or in multiples. If this book has a drawback, it is that the authors were unable to capture fully the pain and hard work that came about in the development and execution of a strategy. Definitely worth considering for business collections and a good choice for general collections.?Steven Silkunas, SEPTA, Philadelphia
Copyright 1998 Reed Business Information, Inc. --This text refers to the Hardcover edition.
Top customer reviews
The core information is very good - but that's chapters one and two - the rest is the same stuff repacked, reheated, reworked, repeated and the remainder of the book can be dispensed with.
There is significant value in the core logic and the book is probably worth that much. But do not take this on a long flight unless you want to see the movie several times as the book will not sustain you for more tham 30 minutes.
When you have a book that is highlighted and filled with scribbled notes in almost every page than you know you have a winner. Can hardly wait for the next book by these two great authors.