An old-school management consultant question for you today.
Coined by Theodore Levitt way back in 1960.
But just as relevant today …
‘What business are we really in?’
Understanding – really understanding – that what you ‘do’ is very often not the thing people are buying, can change the fortunes of a business by making what you ‘do’ more relevant to buyers and help you to carve out a niche in even the most competitive market.
For example:
Wonderbra might make underwear – but really, they’re in the business of giving women confidence.
Harley Davidson might make motorcycles – but really, they’re in the business of giving middle-aged, middle-class men a taste of freedom.
Apple might very well make computers – but – well, think about it for a minute, ‘what business do you think they are they really in?’
The way to distance, or even completely separate yourself from your competitors, is to ask that question and then orientate your business around the answer.