When a company exploits structural change, it is recognizing, an
d reacting to, the inevitable. Ho
wever, companies
also have the
ability to
shape industry structure. A firm can lead it
s industry toward new ways of competing that alter the five forces for the better.
In reshaping
structure, a company wants its competitors to
follow so that the entire industry will be
transformed. While many industry parti
cipants may
benefit in the process, the innovator can benefit most if it
can shift competition in dire
ctions where it can excel
When a company exploits structural change, it is recognizing, and reacting to, the inevitable. However, companies also have the ability to shape industry structure. A firm can lead its industry toward new ways of competing that alter the five forces for the better. In reshaping structure, a company wants its competitors to follow so that the entire industry will be transformed. While many industry participants may benefit in the process, the innovator can benefit most if it can shift competition in directions where it can excel
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