Chapter 7: Compete Strategically with Other Catalysts

Even the most successful catalysts are not immune from competitive threats.

Preparing for competition is another important element in the Catalyst Framework™. Understanding competitive threats can help both a catalyst entrepreneur challenge an entrenched catalyst of today and a successful catalyst defend itself against emerging threats

Task (1). Understand the Dynamics of Catalyst Competition

Multihoming and intersecting catalysts are two unique and important aspects of competition among catalysts.

Catalysts Discussed: ABC, NBC, CBS, Craigslist

Task (2). Look for Competition from Different Business Models

Catalysts frequently face competition not from imitators but from innovators, which may offer a product using a different business model.

Catalysts Discussed: SuSE Linux, Microsoft Windows OS

Task (3). Leverage Attack

One common strategy is to attack an entrenched catalyst in one industry from an entrenched catalyst position in another industry.

Catalysts Discussed: Wall Street Journal, Google, eBay

Task (4). Consider Cooperation

In some cases, evolving technology will create new opportunities--or new threats--where there are overlapping catalysts.

Catalysts Discussed: DoCoMo's i-mode, mobile phone operators

Takeaway

Catalysts face competition threats of a different nature than their single-sided counterparts. In the catalyst ecosystem, collaborators can be foes, and competitors may provide subtle opportunities for cooperation.

For more on competing strategically with other catalysts, visit Step 5 of the Framework™