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Strategies & Market Trends : Gorilla and King Portfolio Candidates
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To: Mike Buckley who wrote (18406)2/22/2000 7:53:00 PM
From: cfoe  Read Replies (2) of 54805
 
Talk by Geoffrey Moore

Last Wednesday evening (2/16) I attended a dinner hosted by the Haas Business School (Univ. of Ca ? Berkeley) with the support of others (Wharton, Harvard, etc.). The speaker was Geoffrey Moore and his topic was Being Profitable in the Internet Economy (sic), based his soon to be released new book. I will give a very brief summary here, but based on the talk I recommend reading the book when it comes out (I will).

Basically Moore said that everything a company does could be put into one of two categories ? ?Core? and ?Context.?

Core is what makes a difference for a company; that which drives revenues and eventual success. It is the ?key/must have?; it is what differentiates a company from its competitors.

Context is everything else. It is what is ?needed;? it is not a "differentiator.?

The key is to concentrate on the Core and ?outsource? the Context. Even here, you have problems, especially for established companies.
The foundations of what is Core are shifting;
Context has become a liability;
Core becomes Context faster and faster than ever before.
Companies need to ?design for outsourcing?

He used as an example of this attempting to run up and down escalator. Also, even in outsourcing Context, it is only effective when you outsource to a company who has that as their Core. (One example used was Cisco using Selectron?s manufacturing expertise.)

He gave lots of comparative lists and examples of how to apply these distinctions. (BTW ? Moore offered copies of his charts and I e-mailed him for them. If I get them (have not as yet) I will post a message here so those that want a copy can PM me their fax number.)

Will be happy to take questions, but since my notes were skimpy, I can only rely on my memory if and until I get the charts.
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