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:: Tuesday, July 22, 2003 ::
Operations: Milking More from the Mature Business: "Or take the case of a U.S. construction services company whose core business was the rental, erection, and dismantling of scaffolds at industrial plants%u2014petroleum refineries and petrochemical facilities, for the most part. The company was the clear market leader, with a share five times that of its closest rival. With that share slipping, though, the company began to plot an ambitious growth strategy that would take it into new markets, such as special-events scaffolding, and new businesses, such as providing union carpenters on a temporary basis to industrial customers. The risk of this approach: the decline in the company's core refinery and petrochemical-plant business would accelerate as rivals exploited the operational shortcomings already dragging down its market share."
posted 6:01 AM :: reference link ::
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