Global markets are in the midst of an historic restructuring shaped by globalized competition, super-intelligent machines, resource scarcity and seismic demographic shifts. The new market reality has created a paradox that is confounding even the most capable executives. The pace of technological change is forcing companies to create new value for customers and bring it to market faster than ever before. At the same time, it is more difficult to get paid for that value as powerful customers and aggressive competitors drive down prices relentlessly. This growth paradox is the defining market dynamic of our times.
Solving the growth paradox requires a new approach to understanding markets and managing the process of creating and capturing value. This value-based approach to strategy is captured in the House of Value – a conceptual model for how to execute a value-based approach to strategy.