Is your company’s “sustainable competitive advantage” built on sand?

The death of static strategy and the rise of the ecosystem.

We were all taught that strategy is about building a durable position —dominant scale, an attractive niche, or superior capabilities. But in today’s volatile environment, that’s a failing playbook.

A fantastic article from BCG, “Adaptability: The New Competitive Advantage,” reveals a stunning statistic: the probability that a market share leader is also the profitability leader plummeted from 34% in 1950 to just 7% in 2007.

Market leadership is no longer a safe harbor. Why? Because traditional strategic planning assumes a predictable world, and that world is gone.

The new source of advantage is rapid adaptation. And one of the most critical, game-changing capabilities is the ability to manage complex multicompany systems.

Think about it: Nokia had the scale and experience curve. But Apple didn’t just launch a device; it launched an ecosystem. As Nokia’s CEO admitted, “Our competitors aren’t taking our market share with devices; they are taking our market share with an entire ecosystem”.

As leaders, our strategic focus must shift. We must move from thinking about our company as the unit of analysis to thinking about the system. The future belongs to those who can orchestrate adaptive networks, not just optimize internal operations.

How much of your strategic planning time is dedicated to building your ecosystem versus just defending your position?

#Leadership #Strategy #Adaptability #Innovation #Ecosystems

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