Umair Haque / Bubblegeneration
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Design principles for 21st century companies, markets, and economies. Foreword by Gary Hamel. Coming January 4th. Pre-order at Amazon.


 
Friday, January 25, 2008

Google, The Macropocalypse, and Rethinking Strategy


We've discussed this particular principle - good beats evil - many times now.

Here's a visceral - and simple - example of the economics behind it, and, hopefully, if you can read between the lines a bit, why evil is driving the macropocalypse.

By doing good - killing domain tasting - Google takes a very real short run hit: but massively amplifies the long-run health and vibrance of the ecosystem.

Instead of resources staying frozen and monopolized, players in the ecosystem are more free to constantly probe for their most productive uses.

And so everyone's productivity is exploded - everyone is better off in the long run: Google, advertisers, publishers, and, of course, consumers.

That's razor-sharp next-gen strategy - a perfect, textbook example.

But let's think a bit bigger.

Imagine how different strategy - and the macro landscape would be - if players like the Gap, Ford, big pharma, and big food also thought this way.

The global economy would be a radically different place.

Bill Gates recently talked about capitalism failing the poor.

I think naive capitalism is increasingly failing us all - by forcing corporations to become corpocracies, and actually minimizing the total amount of value they can create.

Google killing domain tasting is, in it's own small, I hope, a powerful example of a very different kind of thinking about the origins of value.

-- umair // 2:29 PM // 2 comments


Comments:

was worried about google for the last few months, starting to get a bit evil i was suspecting

(everything begins in mysticism and ends in politics - pleguy)

this is a fabulous gesture, and as you suggest, a good move.

i need context search for your blog, have you written on the destructiveness of management decisions based on next quarter results? or next weeks stock prices?

thinking long term is what "primitive" peoples in agrarian societies do, because survival depends on it

too bad the "educated" don't get that
// Blogger gregory // 4:07 AM
 

Thanks for this.
// Blogger Scott Crawford // 10:16 AM
 
 

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