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Copy of The New Paradigm of Advantage

capitalism 2.0
by

Hein Stanoph

on 25 April 2010

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Transcript of Copy of The New Paradigm of Advantage

www.havasmedialab.com
blogs.harvardbusiness.org/haque Umair Haque
Director
Havas Media Lab constructive
capitalism THE LAWS OF
CONSTRUCTIVE CAPITALISM

1 STRATEGY IS OBSOLETE
2 COMPETITION IS A COMMODITY
3 THERE IS NOTHING MORE ASYMMETRICAL THAN AN IDEAL
4 TOMORROW IS TODAY
5 PEOPLE, NOT PRODUCT
6 CONNECTIONS, NOT TRANSACTIONS
7 CREATIVITY, NOT PRODUCTIVITY
8 OUTCOMES, NOT INCOMES
9 ADVANTAGE IS IN THE DNA
10 THE NEXT REVOLUTION IS INSTITUTIONAL what's going wrong with the global economy?
can we survive it through better strategy through better strategy, or more intense competition? Vt = min(Cd), max(Bc) imagination scale information lock-in The Zombieconomy ALLOCATIVE
ADVANTAGE CREATIVE
ADVANTAGE PROTECTIVE ADVANTAGE EXTRACTIVE ADVANTAGE RADICAL
INTERDEPENDENCE
MEANS RADICAL UNCERTAINTY
NONLINEARITY
IRREVERSIBILITY thin value thick value THE NEW PARADIGM OF ADVANTAGE 21st century advantage is creative and allocative. 20th century advantage is extractive and protective. an economy built on extractive and protective advantage is a ponziconomy, where thin
value is transferred from
one actor to the next.
when a firm gains
creative and allocative
advantage, it creates thick
value: authentic, meaningful economic value.
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