In 2015, one might have imagined that the major motion-picture studios would simply shrivel up and die, as new entrants such as Amazon, Netflix, and Google disrupted their industry. But they haven’t. And the reason they haven’t reveals a path forward for managers in other industries facing digital transformation. Why were studios able to respond to the threat posed by new digital technologies? Because they stopped protecting their existing business model, which involved selling access to scarce content sold in scarce channels by filling seats in theaters, selling advertisements on prime-time television, and selling shiny plastic disks for $20 a pop, and instead rediscovered their underlying business mission — which was creating great entertainment and getting it in front of the right audience. Guided by that new perspective, the studios began to embrace new technologies and new business models. If a mission-driven response to digital transformation worked in Hollywood, imagine what it could do for your firm. Here are three lessons learned from what the motion-picture industry did right.
In 2015, one might have imagined that the major motion-picture studios would simply shrivel up and die, as new entrants such as Amazon, Netflix, and Google disrupted their industry. But they haven’t. And the reason they haven’t reveals a path forward for managers in other industries facing digital transformation.
The second is that digital transformations often affect many areas of a firm’s competitive environment at the same time. This expanded scope can cause experienced managers who are used to evaluating threats from individual market transformations to miss the combined threat caused by multiple digital changes that are occurring simultaneously.
What they didn’t realize in 2015, however, was that digital technologies were making each of these scarce resources abundant. New digital technologies were democratizing access to the tools necessary to create content. New digital channels were allowing creators to reach their audience without having to navigate the scarce capacity of broadcast television stations, motion-picture theaters, and brick-and-mortar store shelves.
In 2015 one might have imagined that the major studios would simply shrivel up and die like so many other market-leading firms in other “disrupted” industries. But they haven’t. And the reason they haven’t reveals a path forward for managers in industries facing digital transformation.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Ree Drummond Shows Off Hair Transformation of Her Signature Auburn Color: 'We Fixed That'On Friday, the 'Pioneer Woman' star showed off her refreshed signature auburn color in two photos from before and after she went to the salon.
Read more »
UFC's Dana White shows off incredible weight loss transformationUFC president Dana White showed off a massive weight loss transformation in an Instagram post on Friday. He compared his current body with himself from six years ago.
Read more »
Cho Yi Hyun Makes Bold Transformation Leading Double Life In New Rom-Com “The Matchmakers”Cho Yi Hyun Makes Bold Transformation Leading Double Life In New Rom-Com “The Matchmakers”
Read more »
Council Post: Crafting A Customer-Centric Innovation Strategy: A Path To TransformationCustomers are your compass, and their dreams are your guiding stars.
Read more »
Here's a roadmap for stocks to own and avoid this earnings seasonFive lessons about earnings and earnings surprises from an outperforming stock-portfolio manager.
Read more »
Is Love an Emotion?Lessons from history and psychology.
Read more »