Resources for product teams from industry experts.
If there is money to be made, new firms will enter the market, increase supply, drive prices down, and thereby eliminate the profits that attracted them in the first place. If too many firms enter the market, they’ll suffer losses, some will fold, and prices will rise back to sustainable levels. Under perfect competition, in the long run, no company makes an economic profit.
— Zero to One: Notes on Startups, or How to Build the Future by Peter Thiel, Blake Masters
In the red oceans, industry boundaries are defined and accepted, and the competitive rules of the game are known. Here, companies try to outperform their rivals to grab a greater share of existing demand. As the market space gets crowded, prospects for profits and growth are reduced. Products become commodities, and cutthroat competition turns the red ocean bloody.
Blue oceans, in contrast, are defined by untapped market space, demand creation, and the opportunity for highly profitable growth. Although some blue oceans are created well beyond existing industry boundaries, most are created from within red oceans by expanding existing industry boundaries. In blue oceans, competition is irrelevant because the rules of the game are waiting to be set.
— Blue Ocean Strategy, Expanded Edition: How to Create Uncontested Market Space and Make the Competition Irrelevant by W. Chan Kim, Renee Mauborgne, et al.
As anyone who’s launched a product or business under conditions of extreme uncertainty knows, it’s very difficult to make accurate forecasts about markets you’ve never played in before — or that may not even exist yet. Innovation accounting gives entrepreneurs and leaders a language for talking about progress in the years before revenue kicks in. And not only that — it allows you to actually translate your learning into numbers your finance colleagues and investors can understand.
Having that shared language, and a shared system for showing progress, helps concretize the trust between leaders and entrepreneurial teams. Entrepreneurs and leaders agree to a set of metrics they believe are important to the success of a project. Entrepreneurs must show progress to be able to secure their next round of funding, and leaders agree to continue supporting the project as long as entrepreneurs can demonstrate that their strategy is working — or that they’re making the proper adjustments to their strategy based on their discoveries.
— The Leader’s Guide by Eric Ries
While what I don’t know about the future is probably much more than what I do know, what I do know is also a lot. Dealing with the future is all about:
Knowing how things have changed in the past leads me to consider the possibility that something similar might happen in the future. That is a big advantage relative to being unaware. “…”
Knowing this, I am constantly looking for leading indicators of the same things happening again, and having leading indicators of these things, even if they aren’t perfect, puts me in a better position to protect myself than remaining blissfully unaware and unprepared for what might happen.
— Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail by Ray Dalio
Customer Success: Some tech companies have what’s referred to as a high‐touch model of helping their customers, and some have a low‐touch model. You need to understand what your company’s customer success strategy is, and you need to ensure that your products are aligned with that strategy. Again, if you are proposing something that would represent a change, you’ll want to sit down with leadership and discuss the options.
— INSPIRED: How to Create Tech Products Customers Love (Silicon Valley Product Group) by Marty Cagan
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