The Future of Competitive Strategy

Introduction

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©2022 MIT. This excerpt is from The Future of Competitive Strategy by Mohan Subramaniam, published by The MIT Press.

“industry” frequently. Not surprisingly, his famous question more com- monly was paraphrased as: “What industry are we in?” And a related follow-up question, implicit in this line of thinking, was: “How should we adapt our products to changing trends in our industry?” The buggy whip firm, following this rationale, would have tried to adapt its prod- ucts to changing trends in the transportation industry. In the modern digital world, Levitt’s advice still rings true. “What business are we in?” is still a relevant question. Yet the ways in which that question can now be interpreted have changed. Modern-day myo- pia has changed from marketing myopia to digital myopia. Digital myo- pia stems from firms’ continued insistence on relying on products and industries for competitive advantage. It occurs when firms fail to see a shift in customer preferences from regular products to new data-driven services and digital experiences. It happens when firms fail to see the new value they could generate from data through digital ecosystems, and how such new value could expand their business horizons. This book aspires to expand the strategic vision of readers and help them overcome the common trap of digital myopia. If you are among the many executives today looking for fresh insights into how to unleash more value from data and revitalize traditional business mod- els, you should read this book. If you are looking for ways to empower your products to offer richer customer experiences, you should read this book. If you are looking to expand your competitive arena beyond conventional industry boundaries into new digital ecosystems, you should read this book. And if you are looking to build new digital capa- bilities to compete with a winning digital strategy in the modern era, you should read this book.