When a manager with a good reputation meets an industry with a bad reputation. It is normally the industry that leaves with Its reputation intact” Attributed to Warren Buffett
In general, you can not expect to capture any value if you do not create any Getting\paid to playis an exception, but is unlikely to yield very high profits
Price wars are bad, especially with high fixed costs They reduce current profits and erode customers' perception of product quality Price wars are not inevitable. For example the French and the Germans fight every fifty years but not every year
In a service company, important parts of the product are being designed by the front-liners every time they serve a customer They are uniquely positioned to read customer needs. You need to provide them with information(about costs)and incentives
