The only way to beat the competition is to stop trying to beat the competition,make the competition irrelevant. Competition among companies occurs in a crowded market having a limited number of customers, to make it irrelevant, shift from competition to alternative and from customers to noncustomer s in order to reach beyond the existing demand.
Value innovation is the cornerstone of making any compensation irrelevant. To value innovate, the two considerations are : differentiation and cost, meaning to drive cost down while simultaneously value up for customers. To excel in value innovation these four action questions must be answered, which are :
1. Which factors that the industry take for granted that should be eliminated?
2. Which factor should be reduced well below the industry's standard?
3. Which factor should be raised well above the industry's standard?
4. Which factor should be created that the industry have never created?
Always remember this:value innovation is not technology innovation.
Strategy, another key factor to make the competition irrelevant. Strategy is choosing a direction and making decisions that gives you advantage over time. For a strategy to be well implemented, it should have all of these factors:
1. Focus
2. Divergence
3. Compelling tagline
To make a competition irrelevant is to create a new market within your industry.