Embed Size (px)
Hypercompetition represents a state of competition with
rapidly escalating levels of competition and reduced
periods of competitive advantage for firms.*
*Organization Science | March 1, 2000
Apple How does Apple, the #1 innovative company in the world, innovate and create game-changing innovations such as the iPod, iTunes, iPhone, iPad and more? What is Apple's secret recipe for innovation success?
Secretive companyTable Market LeaderMultiple MoatsDiversified Global Player
Amazon Amazon.com, Inc. (AMZN), is a leading global Internet company and one of the most trafficked Internet retail destinations worldwide. How can they take market share from Apple?
Huge partner networkTable Market Late ComerMoats in Different IndustriesDiversified Global Player
Market Overview – Models
Market Overview – Price Wars
Apple vs AmazonApple Amazon
Generally competes by differentiation Generally competes on price/long term view
Closed ecosystem Open ecosystem
Huge Product Legacy Open Possibilities
What would you do?
Recent News 1• Amazon to Reduce Kindle Fire Manufacturing Orders by 50% for Q1 2012
• January 23
Recent News 2• Samsung Announces a 7.7 inch Tablet
• January 9
Windows 8 Tables….
Apple vs Amazon vs Samsung vs…
Multi-staged Competition?• Brazil Approves Tax Incentives to Begin iPad Production as Apple Targets its Next Major Market
• Fast-paced• Everything is
• Aggressive• Moats might not
Takeaways• In hypercompetitive environments
competition is fast
• Usually competitors are forced to compete by using satellite businesses/advantages
• Secrecy, moats and execution speed play a key role in the competitive dynamics
• Segmentation of competitors might help in getting a clearer view
• The first question to ask might be: who is this player competing against?