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.


 
Tuesday, January 27, 2009

Everything That's Wrong With Industrial-era Business


"This is part of a larger strategy. This is a unique time and we intend in six months to a year to have a number of brand names," said Bradley Snyder, principal and managing director at Gordon Brothers. "We see it as a completely opportunistic time. If not now, then when? We have virtually unlimited capital for this project."

It's all there in one pithy quote: an opportunistic play to invest "capital" in a "brand" which is part of a larger "strategy".

What's left unmentioned? Anything remotely to do with authentic, durable value creation.

A nice illustration of why our economy is melting down.

-- umair // 12:58 PM // 3 comments


Comments:

This I think is one of many great errors you make in your work, for the next while I'll try and come back to name more of them.

Brand is durable and it is valuable - it is one function of advertising. Brand is the paid-for mechanism by which even our poor (US), identify themselves, the way by which they achieve higher up Maslow's hierarchy.

Fact: A significant slice of the money spent on branded goods, pays for the promotion of the brand. So, when $40 of the $150 shoes goes to defining the brand wearer in a positive light even to the non-buyers, you are fundamentally mistaken not to allow for the hedonic value obtained from such a purpose.

The price increase caused by that $40 is paid for freely and willingly. In is the main way the shoe becomes more than rubber, , and atoms. It is a testament to our society that we've reached this point.

Treat it with the respect it deserves.
// Anonymous Morgan Warstler // 11:05 PM
 

One might also ask how you, umair, and consultants in general add authentic value to the economy.
// Blogger Paul Montgomery // 1:41 AM
 

Perhaps his exaggerated attempt to do more of the same is a clear indicator that we are on the cusp of a necessary jump in the discontinuous process of transformation? Sometimes I wonder how much energy we should expend highlighting the outdated organizational models vs living as if tomorrow really is today?

I guess I am somewhat spoiled since I prefer reading quotes from people who already utilize collaborative models.

Sostane
// Anonymous Anonymous // 9:25 AM
 
 

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