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"Mistake #1. Confusing marketing with strategy.
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Correction: A value proposition isn't the same thing as a strategy. If you're trying to describe a strategy, the value proposition is a natural place to begin — it's intuitive to think of strategy in terms of the mix of benefits aimed at meeting customers' needs. But as important as it is to have insight into customers' needs, don't confuse marketing with strategy. What the marketing-only approach misses is that a robust strategy also requires a tailored value chain, a unique configuration of activities (Moi ici: O famoso mosaico de actividades) that best delivers that kind of value. (Moi ici: Não basta pensar nos clientes-alvo e na proposta de valor, há que considerar o mosaico de actividades que se reforçam e entregam ou materializam a proposta de valor)
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Correction: A value proposition isn't the same thing as a strategy. If you're trying to describe a strategy, the value proposition is a natural place to begin — it's intuitive to think of strategy in terms of the mix of benefits aimed at meeting customers' needs. But as important as it is to have insight into customers' needs, don't confuse marketing with strategy. What the marketing-only approach misses is that a robust strategy also requires a tailored value chain, a unique configuration of activities (Moi ici: O famoso mosaico de actividades) that best delivers that kind of value. (Moi ici: Não basta pensar nos clientes-alvo e na proposta de valor, há que considerar o mosaico de actividades que se reforçam e entregam ou materializam a proposta de valor)
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Mistake #3: Pursuing size above all else, because if you're the biggest, you'll be more profitable..
Correction: There is at least a grain of truth in this thinking, which is precisely what makes it so dangerous. But before you assume that bigger is always better, it is critical to run the numbers for your business. Too often the goal is chosen because it sounds good, whether or not the economics of the business support the logic. In industry after industry, Porter notes that economies of scale are exhausted at a relatively small share of industry sales. There is no systematic evidence that indicates that industry leaders are the most profitable or successful firms. (Moi ici: O volume é uma adição medonha... já vi cenas que ainda hoje me arrepiam, mesmo passados vários anos. Crescer só por causa de vaidade pessoal, por exemplo, é mais comum do que possa parecer)
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Mistake #4. Thinking that "growth" or "reaching $1 billion in revenue" is a strategy.
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Correction: Don't confuse strategy with actions (grow, acquire, divest, etc.) or with goals (reach X billion in sales, Y share of market). Porter's definition: the set of integrated choices that define how you will achieve superior performance in the face of competition. It's not the goal (e.g., be number one or reach $1 billion in top-line revenue), nor is it a specific action (e.g., make acquisitions). It's the positioning you choose that will result in achieving the goal; the actions are the path you take to realize the positioning. (Moi ici: Gosto dos trechos de Richard Rumelt em "Good Strategy, Bad Strategy": "The core of strategy work is always the same: discovering the critical factors in a situation and designing a way of coordinating and focusing actions to deal with those factors. A leader’s most important responsibility is identifying the biggest challenges to forward progress and devising a coherent approach to overcoming them." ... "Strategy is about how an organization will move forward. Doing strategy is figuring out how to advance the organization’s interests.")
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Mistake #5. Focusing on high-growth markets, because that's where the money is..
Correction: Managers often mistakenly assume that a high-growth industry will be an attractive one. Wrong. Growth is no guarantee that the industry will be profitable."
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