From Josiah Go article at Inquirer Market Pulse
From Business Inquirer
Why as Cebu Pacific wrested the market share from PAL, Asias first airline when it had the resources to launch such service, segment the market? Or why has The Generic Pharmacy now outnumbered Mercury Drug outlets 2:1
Some answers:
1. Company needs to protect financials. Many see PHP spent on innovation as potential loss rather than potential profits; (in gestation period, the new business can experience losses:
2. Culture of complacency Success is the greatest enemy; it breeds complacency
3. Limited knowledge and methodology; lack of understanding of business model and see anything new as innovation
4. Arrogance and pride (Pride goeth before the fall (hubris)
5. Lack of strategic thinking
6. Slow response to technological changes (lack of speed)
7. Lack of idea channel (suggestion system bottoms up communication
8. Internal inefficiency; not process oriented lack of quality, or even squabbles that hinders the growth
9. Lack of marketing talent in the team
10. Inability to be a visionary to see the big picture. While focusing now and operational efficiency, the future, the direction of the company is forgotten
