Business Strategy

Growing into adjacent markets is a powerful approach for tapping new revenues, rejuvenating businesses, and creating defenses against competitive upstarts. From Netflix’s entry into streaming and then content production, to Fujifilm’s transformation from Kodak rival into a $20 billion medical imaging powerhouse, to Ingersoll-Rand’s growth from air compressor maker to power tool manufacturer, the playbook for attacking adjacent markets has powered business successes in both high-growth and mature industries. However, it is also fraught with pitfalls. How to avoid them and follow the path of the winners?

Digital business transformation is akin to permanent disruption, a self-imposed regimen that recognizes transformation not as a one-and-done endeavor but as an ongoing commitment to adapt in line with changing customer needs and shifting industry landscapes.

We are trained to be solution-finders. In school, we are given questions and graded on the quality of our solutions. As we develop in our careers, management examines the solutions that we propose, not the questions that we have asked. For annual reviews, “performance” is usually defined as creating and implementing solutions rather than finding the best problems to tackle. We become wonderfully efficient at solving problems, even if they are the wrong ones to solve. Few kudos come from asking the right question.

We’ve seen how tech-oriented companies have thrived in the pandemic, from Amwell in telemedicine to Zoom in tele-everything. But what about the rest of the economy? One fast-growing pizza chain shows that Covid can create a Great Reboot for all kinds of industries. The story of this company – rooted in five key steps taken by leadership – holds lessons for all types of organizations seeking to use this moment as an opportunity for reinvention.

One way to ensure a balance between leadership teams and systems as organizations and brands pursue rapid growth is by implementing a “Monday meeting.” One particular type of meeting that can have the effect of reducing work and increasing the metabolism of a business.