To become or not to become. LO24245

From: Winfried Dressler (winfried.dressler@voith.de)
Date: 03/24/00


Replying to LO24239 --

>Thanks for the help. Alas, I have tried that angle too, but I have shot so
>many holes in it that I stopped pursueing it any further.

Dear At,

my thoughts are already some steps further. Meanwhile I have arrived at
another angle, in which you may shoot holes.

I have been thinking of value creation in a company. A difference in ideas
between a company and it's market makes goods incorporating this idea flow
into the market. Such ideas which create value to the market are called
intellectual capital and, well, I like to think of it as the knowledge
built in the products. This knowledge is of course independent of the
units of products shipped to the market.

Like your example with the pressure and the tyre, a company tries to
maintain it's intellectual capital otherwise it's becoming is endangered,
and it will rapidly become as 'flat' as the tyre. That such ideas are
intensive can be felt by any inventor who has a patent registered. The
most important question then is: Will it lead to a flow of goods and how
strong will it be? Or for the author of a book: How many copies will they
sell?

But there is also another danger for a company: When the difference of
ideas is so big that it cannot control the development of the flux
(demand) compared to ist manufacturing capacity. Here the financing and
recruiting of a fast growing business is a problem and can become a deadly
threat to the company.

A related problem is todays dilemma of development. This means that the
time and cost for developing new products increases compared to the
lifecycle and margin of the product sold.

At, there is so much more to be said, so much that I really feel
overwhelmed in the moment.

Liebe Gruesse,

Winfried

-- 

"Winfried Dressler" <winfried.dressler@voith.de>

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