In The Power of Dumb Ideas, Randall Rothenberg argues that imitation across industries is a more effective and profitable strategy than the promotion of innovation and blue-sky creativity.
Rothenberg cites a Booz Allen study that argues that, between 1965 and 1995, 80% of break-out businesses were based on only four ideas:
- power retailing,
- and the value chain bypass.
Companies using these strategies include Circuit City, Staples, and Home Depot. Regardless of your opinion on Rothenberg’s ultimate conclusions, you can’t quibble with his basic message that execution is a critical part of business success.
The Power of Dumb Ideas, by Randall Rothenberg, is excerpted in this article from Strategy + Business E-News.