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The Vantage points for Entrepreneurs to provide offerings beyond value

By Prof. J. Aditya of WSB

According to Moore’s law, the number of transistors that can be embedded on a single chip doubles every two years. The world of innovation and entrepreneurship needs to work in tandem with Moore’s law. This world should also experience constant paradigm shifts for the advancement of civilization. One of the innovative strategies employed by Entrepreneurs is to deliver what is “value” to customers. However, Entrepreneurs need to think about providing offerings beyond value before value-driven strategies become a norm. Therefore, there is a need for Entrepreneurs to establish Vantage points to provide offerings beyond value. Vantage points could be a way of thinking, a strategic position, an idea or numerous other variables that enable Entrepreneurs to perceive the world with lucidity and without any distortion.

Dynamic thinking:

First, it is imperative for Entrepreneurs to be multi-focused and dynamic in thinking about acquiring customers and designing offerings. This way of thinking ensures that offerings are not only visible but also remarkable. Dynamic thinking involves broad divergence of ideas and convergence of several different kinds of knowledge. Furthermore, dynamic thinking brings forward actions that encourage experimentation of different ideas and ensure ideas possess the transformational capability to turn into reality. Finally, there is a possibility that Dynamic thinking leads to dynamic disequilibrium in an economy. According to Joseph Schumpeter, dynamic disequilibrium created by an innovating Entrepreneur is more favorable than equilibrium and optimization for a healthy economy.

Strategic position: 

According to Peter F. Drucker, one of the requirements of knowledge-based innovation is a clear focus on the Strategic position. The process of occupying a Strategic position provides a Vantage point for an Entrepreneur to acquire customers and surpass their needs by providing offerings beyond value. There will be a radical transformation in customer’s experience of offerings when an Entrepreneur occupies a formidable strategic position for his or her company. After occupying a strategic position, innovators and Entrepreneurs can design offerings that exceed what is value to customers. Companies can experience exponential growth by providing offerings beyond value. Therefore, the focus of strategic position should be on creating and sustaining successful growth. Market disruption is necessary for companies to experience exponential growth. Choosing a formidable strategic position as a Vantage point may lead to market disruption, which is also healthy for an economy just as dynamic disequilibrium. Disruptive innovation is the obvious choice to disrupt the market. Although a company is leveraging technical competences, it is creating new business models by implementing disruptive innovation strategy.

Disruptive idea: 

Just as familiarity breeds contempt, conformity breeds stagnation. Hence, there is a need for a disruptive idea to be established as the third Vantage point. Disruptive ideas tend to counter intuitive and require high energy levels. However, a disruptive idea should be saleable although it is something that has never been thought of. A disruptive idea is saleable when it is holistically formed by an Entrepreneur. When disruptive ideas are holistically formed, there is not only a creation of new market, but also a creation of new value. Creation of new value is a starting point to design offerings that surpass what is value to customers. In the present era, there is a whole gamut of disruptive ideas, from the Internet of things to extending lifespan through genomics.