Part Three

How Remix Strategy Changes the Way You Compete

WHEN ASSETS ARE REMIXED IN THE WAYS DESCRIBED so far, new units of competition are formed. In the nineteenth century, an earlier business remix gave rise to the modern corporation that was driven by the benefits of scale and scope. Later, the same process led to business trusts and cartels that came to rule certain markets. In the last decades, remixing has given rise to groups of allied firms—the constellations introduced briefly in chapter 2. In many industries, competition has become a battle of group against group, not firm against firm.

In this world of group versus group, the three laws of business combinations are still valid—and even operate on a grander scale. Inside a constellation, ...

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