Chapter 9. CREATING BARRIERS: Sustaining the Differentiation

Always pursue a strategy that your competitors can't copy.

Jim McNerney, CEO of Boeing

When I don't know whether to fight or not, I always fight.

Lord Nelson

The key to enduring success is to create barriers to competitors. The creation of a new category or subcategory can generate a marketplace in which the competitors are irrelevant and not considered or they are weakened. The question is for how long. The answer is the barriers created. The Yamaha Disklavier story is not only a good subcategory story but also illustrates the nature of barriers. As you read the story look for the different barriers that Yamaha built. In addition to those based on technological innovations, there were ...

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