Three Business Changing Forces in 2006

“The future has already happened; it just isn't very well distributed”

William Ford Gibson

China’s Continual Aggressive Growth

Their consumption of global raw materials, trading surplus, increasing consumer spending power and maturation into a normalised economy will drive all our business agendas.  Even if your own business does not directly do business with, or in, China/the Pacific Rim, some part of your value chain probably is and their challenges will affect your business.  China’s influence will continue to impact on world markets, so these opportunities and threats need to be thought through and understood.

The Internet Will Continue To Disrupt Mature Business Models

We can see businesses struggling for life in real time.  Fixed line phone operators, high street DVD rental, ‘old-media’ businesses,  Web 2.0 and the move to services (see previous newsletter), and new organic networks/communities will shift value chain power towards the consumer away from the provider.

Income/Cost Ratios Will Continue To Be Squeezed

With low inflation, over supply of goods and services, more demanding customers, increasing commoditisation and quality now taken as a given, we have moved into a post-industrial age.  The need to be different, unique even, has never been stronger.  Unless we develop compelling, distinctive offerings that are materially differentiated we will struggle to compete.  Simply playing with the cost base (off-shoring for instance) will only offer short term respite, indeed if everybody does it, it becomes a zero sum game and everybody is still at the same place.

SalesPathways works with its clients to understand these business change dynamics and develop effective responses which help future proof their organisation.  If you would like to talk over your business issues please contact the SalesPathways Team for an informal chat.

For more information contact:

Claudine McClean

tel: +44 (0)1789 734 400
email: claudinem@salespathways.com

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