Beyond the Core: Expand Your Market Without Abandoning Your Roots

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Harvard Business Press, 2004 - Business & Economics - 214 pages
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All companies must grow to survive--but only one in five growth strategies succeeds. In Profit from the Core, strategy expert Chris Zook revealed how to grow profitably by focusing on and achieving full potential in the core business. But what happens when your core business provides insufficient new growth or even hits the wall? In Beyond the Core, Zook outlines an expansion strategy based on putting together combinations of adjacency moves into areas away from, but related to, the core business, such as new product lines or new channels of distribution. These sequences of moves carry less risk than diversification, yet they can create enormous competitive advantage, because they stem directly from what the company already knows and does best. Based on extensive research on the growth patterns of thousands of companies worldwide, including CEO interviews with 25 top performers in adjacency growth, Beyond the Core 1) identifies the adjacency pattern that most dramatically increases the odds of success: "relentless repeatability;" 2) offers a systematic approach for choosing among a range of possible adjacency moves; and 3) shows how to time adjacency moves during a variety of typical business situations. Beyond the Core shows how to find and leverage the best avenues for growth--without damaging the heart of the firm.
 

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Contents

2 Visualizing the Ideal
35
3 Evaluating Adjacency Moves
73
4 Orchestrating Adjacency Moves
109
5 Executing Adjacency Moves
141
6 Transforming Through Adjacency Moves
175
Afterword
189
Appendix
193
Notes
197
Bibliography
201
Index
207
About the Author
215
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