Commoditization Not Innovation Destroyed Kmart?

 I spotted a not so surprising story by Kim Peterson on "Is it time to close Kmart?." Anyone perusing the anemic aisles of Kmart in the past 5 years or more must be astounded how a once number two retailer in the world could tumble. 
In 1999 having read an article in Newsweek on Wal-Mart's challenge to Sears and Kmart, I penned a congratulatory letter to Sam Walton founder of Wal-Mart. This new upstart Wal-Mart, had used technology and nimbleness to breathe down the necks of these two perennial “Two big to fail” giants. How this occurred should be of paramount importance.
Today, we recognize Sears and Kmart’s problems as commoditization. A few aspects are noted here:
1.    Speed and nimbleness.
2.    Responsiveness to change and competition
3.    Low entry competitors
4.    Technology
5.    Price
6.    Speed
7.    Innovation. Recognition that no advantage is unassailable.
8.    That size is a detriment.   
For more insights on how commoditization poses a threat to your organization contact us. 

SPEAKING ENGAGEMENTS

Jim has given speeches to lots of different audiences—associations, businesses, and nonprofits. If you're interested in having Jim speak to your group, just send us a note about the event (date, location, audience, etc.): speaking@innothinkgroup.com Visit our website: 

How "My Way or The Highway Numbs Innovation" and Growth in The Great Recession

The next time a leader or manager tell me "People are our greatest asset," I am going to slap them. I have seen it in practice only once. One would think in a global recession dispassionate hierarchical leadership driven by fear would be a relic of the past.

Too bad. For in a world panting for the truly great company or product we continue to see companies cling to the numbing effects of commoditization through abhorring, "My way or the highway." 

The most important meeting during an organization's day isn't the conference call with shareholders. It is honestly listening to real world internal and external customer needs from the mouths of front line workers.  A marketing agency or staff member well cushioned from the real effects of their decisions down wind can't deliver.  Call them "worker bees" at your peril. They can tell an organization volumes about innovating in the real world.

Consulting, Speaking & Coaching. Driving Growth through Innovation 

Innothink Group is a strategic management and innovation consultancy. Where many consulting firms are reluctant to bear risks or tie their rewards to project outcomes, we decided to build a better model. We align our success with yours. We’re outcome obsessed, outcome paid, putting over a third of our fees at risk subject o hitting predetermined milestones. More than a guarantee we wanted from the outset to create true partnerships.

 

For speaking, coaching or consulting inquiries contact:  

Email: CEO Jim Woods

Call: +1 719- 649-4118