Wednesday, April 13, 2011

Re-inventing new business models - not only in high tech

Yesterday Cisco announced that it was closing the Flip video business which it had bought in 2009. Only founded in 2007, it apparently grew, matured, and died in the space of four years. Many other businesses have been obsoleted - the Walkman by the iPod, film by digital cameras. Yet, we also see new business models which re-invigorate the category much as broadband re-invented cable. One of the most interesting is how the curb-side pick up bus is displacing the old point to point bus companies such as Greyhound
I remember in 1969 traveling around America by Greyhound on a 99 day for $99 ticket. Greyhound gradually declined to bankruptcy, but never thought of this. It took entrepreneurs to think of the idea, and then a large company with no vested prestige in the old way to make it successful.

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