Play In The Complex, High Risk Space

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With the world increasingly becoming commoditised, it is difficult for business to compete on anything but price.

I have had a recent discussion with an electrical contractor, where they mentioned their market is becoming increasingly price driven.

I think commodities products and services are fine – you need to be price competitive on these products and services.  These are the services/products that will open the door to prospective clients. 

However, the opportunity to add value to clients and command a premium price is the space where your clients operate in complexity and/or high risk.  This is where skill and experience is required and it is generally difficult for your competitors to replicate your offering.

It is also difficult for prospective customers to compare your offering to other competitors.  This space is referred to as your strategic sweetspot or” blue ocean” ie. the space where;

  • your business has unique capability to meet your target customer needs and
  • your competitors do not have this capability

So look for complexity and risk – the market is less crowded!  It a perspective that has helped clients we have worked with to develop their strategy and competitive advantage.

If you have any questions regarding this blog please contact Tony Monisse

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OUR DIRECTORS

Chris Mandzufas

Chris has a diverse range of skills and experience as a result of providing accounting, taxation, advisory board and management consulting services to owners and directors of fast growing businesses.

Chris Smith

Chris Smith has been a member of the Chartered Accountants Australia & New Zealand since 2006, a member of the Tax Institute of Australia since 2013, and a registered Tax Agent since 2018.

Tony Monisse

Tony’s key focus is the integration of strategy and financial management. To this end he has developed tools and process that facilitate this integration, including business modelling, target setting and rolling cash flow forecasts.

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