Larry Keeley, consultant at tech.fortune.cnn.com, advises how firms must focus on innovating and developing new platforms. He suggests that the entire focus of the firm must not be on trying to grow in familiar ways. Even though Kodak knew about the rise in digital technology, it failed in its existing strategic approach to combat the change. It tried to use its existing strength in organic chemistry and optics to create some excellent products. It lost when the new businesses did not generate much revenue.
- What can we learn from Kodak’s Collapse?
- What would you suggest firms do in order to keep innovating?
- Can you name other firms that failed because they neglected new market trends?
SOURCE: Harvey Schachter, “Lessons learned from Kodak’s collapse” The Globe and Mail (Retrievable online http://www.theglobeandmail.com/report-on-business/careers/management/morning-manager/lessons-learned-from-kodaks-collapse/article2318054/)