Richard, this is a brilliant piece, absolutely in line with The Innovator’s Dilemma. Your data-driven arguments are much appreciated. How many other successful companies face similar risks because they attempt to protect their past successes? The EV shift is one cataclysm; AI is another, where its effect on advertising holding companies will be dramatic (their business model involves being paid “by the head” rather than “for the work.” When AI eliminates the “heads,” what then?
I wrote Madison Avenue Manslaughter (3rd edition 2019) about ad agencies who have failed to protect their businesses -- they’re still enamored by their creative successes of the ‘60s, when The Creative Revolution was featured on the cover of Newsweek. Since then, everything has changed, and they are declining as businesses, but they are wedded to the concept that “being creative” is what matters.
Next month I publish Madison Avenue Makeover, about Huge, a creative agency that is being transformed under a new CEO, Mat Baxter.
Just back from the Philippines, I visited a few car dealerships and chatted about cars with various people. All cars/SUVs and pickups are imported, Toyota dominates the market (60+% share) but primarily with cars imported from Indonesia (and Honda from Thailand). Ditto Fords, I saw a lot of Ranger pickups, again not imported from the US.
I visited dealerships for 2 different Chinese brands, I saw a few on the road but Changan for example only opened their first dealership during the pandemic and so are behind where they planned to be. Geely and MG (SAIC) started earlier. But again, they are competing not with exports from Japan but with exports from SEA.
Thanks for an excellent analysis, as always. However, one small correction: "The Mirai, Toyota’s fuel cell car, has sold only 11,000 cars worldwide since its introduction almost a decade ago." That is the Mirai's sales figure for the US, not worldwide. Worldwide, Mirai has sold 22,000 cars, not impressive at all, but twice as many. https://global.toyota/en/company/profile/production-sales-figures/202211.html
Richard, this is a brilliant piece, absolutely in line with The Innovator’s Dilemma. Your data-driven arguments are much appreciated. How many other successful companies face similar risks because they attempt to protect their past successes? The EV shift is one cataclysm; AI is another, where its effect on advertising holding companies will be dramatic (their business model involves being paid “by the head” rather than “for the work.” When AI eliminates the “heads,” what then?
Yes, I was very influenced by The Innovator's Dilemma as well as Open Innovation. I'm always looking for real-world examples. Thanks.
I wrote Madison Avenue Manslaughter (3rd edition 2019) about ad agencies who have failed to protect their businesses -- they’re still enamored by their creative successes of the ‘60s, when The Creative Revolution was featured on the cover of Newsweek. Since then, everything has changed, and they are declining as businesses, but they are wedded to the concept that “being creative” is what matters.
Next month I publish Madison Avenue Makeover, about Huge, a creative agency that is being transformed under a new CEO, Mat Baxter.
Just back from the Philippines, I visited a few car dealerships and chatted about cars with various people. All cars/SUVs and pickups are imported, Toyota dominates the market (60+% share) but primarily with cars imported from Indonesia (and Honda from Thailand). Ditto Fords, I saw a lot of Ranger pickups, again not imported from the US.
I visited dealerships for 2 different Chinese brands, I saw a few on the road but Changan for example only opened their first dealership during the pandemic and so are behind where they planned to be. Geely and MG (SAIC) started earlier. But again, they are competing not with exports from Japan but with exports from SEA.
Thanks for an excellent analysis, as always. However, one small correction: "The Mirai, Toyota’s fuel cell car, has sold only 11,000 cars worldwide since its introduction almost a decade ago." That is the Mirai's sales figure for the US, not worldwide. Worldwide, Mirai has sold 22,000 cars, not impressive at all, but twice as many. https://global.toyota/en/company/profile/production-sales-figures/202211.html
Thanks, Paul. I'll input the correction.