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anization HighPerforming Focused World Consumerists focus less internationally spend heavily on advertising have low debt diversification almost nonexistent Capon, Farley amp。 Hoenig 2020/7/6 William A. Fischer 29 Navigating Resources amp。 damage, and the associated inventory costs. ? Customer service amp。 Organizational Choices Much of the presentday debate over industrial policy is implicitly a debate over anizational patterns and structures. Richard N. Langlois amp。 Value Migration Value Migration is not new. Value migrated away Ford抯 vertically integrated, singlecarfocused business design toward GM抯 priceladdered business design in the 1920s. It moved from grocery store chains to supermarkets in the 1930s, from fragmented merchandisers to national catalogue sales in the 1890s (Sears), and to national merchandise chains in the 1920s (Sears again). Adrian J. Slywotzky There are always winners and losers in the Value Migration process. 2020/7/6 William A. Fischer 37 We Must Reetablish the Arena [there is a big difference between] defining petitors as 搕 hose panies that do the same thing that we do 厯 [and] defining them [instead] as those business designs that customers can choose from in satisfying their priorities. Adrian J. Slywotzky [Where] a business design is the totality of how a pany selects its customers, defines amp。 Dyer Development Paths for a Typical Industry 2020/7/6 William A. Fischer 30 this will mean changing the ways in which we do business 2020/7/6 William A. Fischer 31 Dimensions of Transformation Speed Fast Slow Scope Broad Narrow Doing Different Things Doing the Same Things Better Turnaround Transformation Reengineering Continuous Improvement Source: Tom Vollmann 2020/7/6 William A. Fischer 32 and, changing the businesses we do 2020/7/6 William A. Fischer 33 Industry Restructuring as Value Migration Market Value is a measure of the power of a business design to create and capture value. Adrian J. Slywotzky Customers make choices based on their priorities. Those choices develop potential value for the businesses from which they buy. At any given time, the pattern of those choices allocates value to various business designs. As customers?priorities change and new designs present customers with new options, they make new choices. They reallocate value. These changing priorities, and the way in which they interact with new petitors?offerings, are what trigger, enable, or facilitate the Value Migration process. Adrian J. Slywotzky 2020/7/6 William A. Fischer 34 Value Migration today in China?.. ? The firms that are winning in the China market are those that control their valuechains, especially downstream from manufacturing! ? Building brands makes the difference in peting on factors other than price: brand amp。 Low Performers empirical research on 113 US manufacturing firms by CEIBS faculty Low