These two terms Market leader and Complacency , do not go well together but believe you and me , it forms the order of truth for many companies as suggested by history.
Does a company who attains the market leader position become complacent , my answer to this is NO . Dont be surprised , i have my explanation for the same . A company which has risen the ranks and fought its way through to achieve that number 1 spot , does understand the value of that position and realises what has gone into reaching that position. So it does not take it lightly and never becomes complacent , obviously there are exceptions. But a company which claims to be the market leader because of some other reason like the first mover advantage or technology or differentiation does not remain the market leader for a very long period of time .
Take the example of K-Mart and Walmart , K-Mart was the market leader in the 1980s to early 90s , but it did nothing to defend its position , so slowly and steadily Walmart ate into them and by 1994-95 Walmart became the market leaders . Walmart not only has become the market leader but it has become such a player which has imposed such high entry barriers on any competitor to enter the same field. So does Walmart get complacent now , NO ,Walmart is aware about the challenge it will face the moment it lapses in any field , so it leaves no stone unturned to maintain the market leader position.
Lets look at JustDial , India's first voice based search company . It rose from the ashes of Yellow Pages but it was in the market for good 10years as the leader , but it failed to take advantage of its superior database or the technology or the listings and today E Commerce companies like Quikr , Flipkart and Zomato are killing its market share . The major rival Google is eating into its search engine operations and business listings areas. Google is causing a lot of customers and businesses to switch from JustDial to Google.
So what is it that a leader should do ?
A leader has to make sure that he remains the market leader , that can be done by continuous improvements in your own line of business , your biggest competition has to be yourself and no one else. I believe the best way to stay ahead of competition and specially if you are the market leader is to " Kill your own Product" you kill your own product before someone else does that for you. Continuously challenge your limits and keep on changing with the changing times as the only thing that is constant is Change.
Looking at MakeMyTrip , this is a company who has become the market leader , but is continuously improving at all times and never takes a chill pill . MMT notices a slight threat from GoIbibo and starts working towards it immediately not waiting for it to become a bigger threat, it takes no threat lightly.
Thank You,
Sarthak Gupta
Does a company who attains the market leader position become complacent , my answer to this is NO . Dont be surprised , i have my explanation for the same . A company which has risen the ranks and fought its way through to achieve that number 1 spot , does understand the value of that position and realises what has gone into reaching that position. So it does not take it lightly and never becomes complacent , obviously there are exceptions. But a company which claims to be the market leader because of some other reason like the first mover advantage or technology or differentiation does not remain the market leader for a very long period of time .
Take the example of K-Mart and Walmart , K-Mart was the market leader in the 1980s to early 90s , but it did nothing to defend its position , so slowly and steadily Walmart ate into them and by 1994-95 Walmart became the market leaders . Walmart not only has become the market leader but it has become such a player which has imposed such high entry barriers on any competitor to enter the same field. So does Walmart get complacent now , NO ,Walmart is aware about the challenge it will face the moment it lapses in any field , so it leaves no stone unturned to maintain the market leader position.
Lets look at JustDial , India's first voice based search company . It rose from the ashes of Yellow Pages but it was in the market for good 10years as the leader , but it failed to take advantage of its superior database or the technology or the listings and today E Commerce companies like Quikr , Flipkart and Zomato are killing its market share . The major rival Google is eating into its search engine operations and business listings areas. Google is causing a lot of customers and businesses to switch from JustDial to Google.
So what is it that a leader should do ?
A leader has to make sure that he remains the market leader , that can be done by continuous improvements in your own line of business , your biggest competition has to be yourself and no one else. I believe the best way to stay ahead of competition and specially if you are the market leader is to " Kill your own Product" you kill your own product before someone else does that for you. Continuously challenge your limits and keep on changing with the changing times as the only thing that is constant is Change.
Looking at MakeMyTrip , this is a company who has become the market leader , but is continuously improving at all times and never takes a chill pill . MMT notices a slight threat from GoIbibo and starts working towards it immediately not waiting for it to become a bigger threat, it takes no threat lightly.
Thank You,
Sarthak Gupta
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