Becoming a Market Leader

A response to my last blog…

‘The article is really motivating. We must learn to be market leader.’

During one downturn, IBM made a concentrated effort to come out of it with more market share.  They succeeded with emphasis on their services organization.  They not only revived IBM, but may be today’s leader in services revenues.

How did they do it?  Winston Churchill once said…

“A pessimist sees the difficulty in every opportunity; an optimist sees an opportunity in every difficulty.”

We live in interesting times. The panic on Wall Street rippled quickly from the investment community into executive suites and down the line to each and every employee. Everyone is talking about how to react and what to do next.  Now is not the time to look at the difficulty in every opportunity, it is the time to seize the opportunity in every difficulty.

Seth Godin, who has written many successful books on marketing, professes embracing the Up cycle instead of the Down cycle… 

‘The appropriate response is not to try harder, to bear down and grind it out. The response that works is to understand the nature of the cycle and to change it from the start. You must not fight the cycle, you must transform it into a different cycle altogether. It’s a lot of work, but less work than failing.’

We need to ask ourselves, ‘What actions can we take today that will position our company as a better one to do business with in this downturned economy?’

One way is to become more Effective and more Efficient in how we make/sell products or provide services.

This starts with your processes.  Managing your processes more efficiently will lower costs and lead to increased revenues, and improve customer relationships.  It can differentiate you from your competitors.  It can be the key that allows your company to break out as the market leader. 

Your Thoughts…

What steps has your company taken to be a market leader?

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One thought on “Becoming a Market Leader

  1. Scott, I take all of this with a grain of salt. Customers don’t really care whether a company is a leader. Each and every idiot business claims to be a leader in something. My business leads in the use of artificial intelligence technology for process management. Is that really relevant to our customers? Absolutely not. Some use it, some don’t.

    There are a lot of leading companies (or so they claim) who are dreadful in terms of customer service. IBM is one of them despite leading in service revenue. Others lead and are on the verge of bancrupty.

    We take steps to be as good as we can in customer orientation. That overall might be our best chance to be a leader, but it’s not why we do it. We are very profitable because of it, but not because we target leadership.

    Finally, the last thing that makes a company a leader is more efficient processes. I would not know how cost cutting is good for anyone except the CEO and the next quarter’s numbers. It certainly doesn’t distinguish anyone. Empowering the business people without nailing down processes might much rather turn a business into a leader.

    The economic cycle is there because of how companies kick into overdrive when times look good and cut back like everyone else when things look down. We have 23 years of good growth and were very profitable each year. We have no cycles. We have always used the down cycles to grow because it is easier and cheaper. We are more profitable than most companies ten times our revenue.

    Are we some overall market leader? No. So what ….

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