In the ongoing ecosystem economy, each company is trying to evolve its own corporate strategy, in order to survive the transformation. Some of them have developed a penchant for helping other firms creating value, as has been the case with Google’s Nest. Many assume that in case they are the platform creators, then need to also be its chief architect, but this is wrong. A superior product or service will automatically place one as the prime mover or orchestrator of any ecosystem. Two major terms exist for allowing the participation. One is access. This refers to the system being open, closed or managed. The other is attachment, implying the ability to co- specialize with others, who act as complementors in the system. Trade- offs need to be a part of this stage. Some organizations will also need to adapt according to the changing tide. A question remains on how many ecosystems, must a single operator manage. Uber for instance has diversified in to a lot. But this is a clever strategy being adopted by many. Facebook for instance now has an edge in digital marketing thanks to its grip on its platform of social media. Several competitors could also turn in to collaborators in a parallel ecosystem.

Source:https://hbr.org/2019/09/in-the-ecosystem-economy-whats-your-strategy

Uploaded Date:29 August 2019