To Have Or Have Not

To Have Or Have Not

Financial disparities have become the bane of today’s society. But the New Economy is creating disparities not just between citizens but also between companies, seemingly punishing those holding extensive legacy liabilities and rewarding those without such costly baggage. These two kinds of companies operate differently. Those with liabilities focus on: playing stock-value games, reducing expenses, exploiting rampaging efficiencies and growing larger to protect against competition and cut costs. Meanwhile, those without such liabilities are focusing on: buying strategically and spreading out horizontally across many different markets. Alibaba and Amazon are representative of this second category, and they are successful because of their application of data analytics: using data about consumers from their original companies, and then converting it into intelligence to give their new enterprises leverage and a market advantage.

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