The Impact of Changing Economics on Well-Established Companies Can Be Better Understood & Appreciated Within the Framework of “4-Stage Model of Change”.

The impact of changing economics on well-established companies can be better understood & appreciated within the framework of “4-stage model of change”.

STAGE 1 → STAGE 2 → STAGE 3 → STAGE 4

Cost Plus Cost Management Revenue Management Revenue Plus

↓ ↓ ↓

←---------------→

Changing Economics •Cost Cutting •Diversifying the product •Development of

•Restucturing •Expanding the business or retail channel of

•Competition •Downsizing markets world wide distribution

•Technology •Reenginering •Simplifying the

•Customers line of the product

•Focusing on some

of its best selling

•Develop products

for younger genera

-tions

•By encouraging...