5.0 out of 5 stars Simply one of the best ever

P.N. · June 24, 2004

Of all the business books I've read, and I have read a great deal more than most for my job, this is simply one of the best. It is well researched, yet also well written. Its lively, yet detailed, historical analysis brings out the lessons of business that are usually lost to time. This book has more intelligent things to say about the true sources of business success than ten of the best sellers combined, and is just as fun to read as any of them.

5.0 out of 5 stars I'm glad I read this

M.T. · December 9, 2014

The book was well argued and I think the arguments made are underappreciated. I'm glad I read this book

5.0 out of 5 stars Debunking the First Mover Advantage Myth

S.J.V.S. · February 22, 2002

Gerard J. Tellis and Peter N. Golder methodically and empirically demonstrate that pioneers are rarely rewarded for their efforts at the end of the day. The confusion between pioneers and current market leaders lies in the exclusion of failures (survival bias), tendency for managers to refer to their own firm as the pioneer (social desirability or self-reports bias), and self-serving market definitions (self-serving bias). For example, the Gillette Company is the oldest surviving firm in the disposable razor market. However, the Gillette Company was not the firm that first commercialized the razor. Similarly, Intel was not the firm that first brought the microprocessor or CPU to the market, even it has been perceived as the pioneer in that industry.Tellis and Golder brilliantly build on over a decade of in-depth research to show that vision, persistence, relentless innovation, financial commitment, and asset leverage are the real factors that drive the superior performance of enduring leaders like the Gillette Company and Intel.1. In their examination of "Vision", Tellis and Golder take their distance from the traditional definition of that much abused business term. Often, vision is indeed synonymous with broad mission statements used to excite and inspire stakeholders of an organization. In Counter-intuitive Marketing, Kevin J. Clancy and Peter C. Krieg concurred that most companies do not have much of a vision (See especially pg. 74 - 86). Vision has two key components according to Tellis and Golder: 1. A focus on the often-decried mass market with its dynamic and evolving needs and 2. A unique perspective of serving that mass market. For example, in contrast to its top competitors, AOL has stressed from the beginning convenience, ease to use, community, and ubiquity. Similarly, McDonald's has stressed from the onset quality, service, cleanliness, and value to build a worldwide network of mainly franchisees for bringing fast food to the masses. In Product Strategy for High Technology Companies, Michael E. McGrath gives a good complement to Tellis and Golder's definition of vision by explaining it as an answer to three key questions: 1.Where does a firm want to go? 2. How will the firm get there? And most critical 3. Why will the firm be successful? (See especially pg. 12, 306, and 317).2. In their analysis of "Persistence", Tellis and Golder debunk the myth that enduring market leaders usually achieve their success through luck or sudden breakthroughs. In fact, visionaries have the will to persist in their efforts through seemingly insurmountable obstacles, slow progress, and long time efforts. The origin, early struggles, and ultimate success of Federal Express showed how important the vision and persistence of Fred Smith, its founder, made the difference at the end of the day. Similarly, the ultimate success of xerography after 13 years of research was due to the unwavering faith of former Xerox (Haloid)'s CEO, Joseph Watson in the underlying technology.3. In their approach to "Relentless Innovation", Tellis and Golder remind their audience about the importance of firms not resting on their laurels. Technology and consumer tastes constantly change. Tellis and Golder rightly identify complacency with past successes, bureaucracy, managerial occupation with current customers and competitors, and fear of cannibalizing existing products as the four enemies of the relentless pursuit of innovation. For example, the earlier history of the Gillette Company clearly indicated that its success led to complacency and arrogance detrimental to its market leadership several times. Quoting Andy Grove, one of the founders of Intel, "Only the paranoid survives." In Product Strategy for High Technology Companies, Michael E. McGrath gives a good complement to Tellis and Golder's examination of both time-based and cannibalization strategies (See especially pg. 219 - 234 and 257 - 271).4. In their study of "Financial Commitment", Tellis and Golder demonstrate that visionaries show persistence in their ability and willingness to raise and commit financial resources whatever the obstacles in their way. For example, Federal Express was on the brink of bankruptcy for years before it finally took off. Similarly, King C. Gillette, one of the co-founders of the Gillette Company, struggled not only to launch the eponymous company but also to raise the capital necessary to commercialize his disposable razor for years.5. In their dissection of "Asset Leverage", Tellis and Golder look at how generalized and specialized assets can be mobilized for dominating a product category. Tellis and Golder rightly identify the extent to which the new product category does or appears to threaten the old product category, a strict focus on costs, myopic view of markets, and bureaucracy as the four major hindrances to leveraging assets. Xerox squandered more than one opportunity to leverage its assets to adopt and commercialize the revolutionary discoveries of its Palo Alto Research Center for years. In contrast, Microsoft showed sacrificing several products in development as the way to catch up with the competition after it had initially misjudged the potential of the Internet revolution.Tellis and Golder also remind their audience that the relative importance of the five factors mentioned above varies by firm and market characteristics: new firms, established firms competing in established markets, and established firms entering new, yet unrelated markets (See pg. 265 and 266).To summarize, Will and Vision by Gerard J. Tellis and Peter N. Golder is like The Innovator's Dilemma by Clayton M. Christensen a major contribution to a better understanding of how markets really work.

5.0 out of 5 stars Very recommended

R.F. · March 5, 2009

Loved this book. It's inspiring and it brought me several insights while I was reading it.

5.0 out of 5 stars Absolutely fascinating: One of the finest works on business

R. · November 30, 2001

Few business principles engender as much faith among people as the principle of the pioneer's advantage. For example, Ries and Trout, in their book on the 22 Immutable Laws of Marketing, boldly state the "first immutable law of marketing" to be "It's better to be first, than it is to be better." Brand recognition, brand loyalty, consumer inertia, network effects, experience effects, access to distribution channels - these are all reasons for why the first movers in a market could have an advantage over others in the quest for market domination. Consultants, academics, and managers note the many examples of pioneers who appear to have done very well in their markets. Look, they say, at Gillette (in safety razors), Hewlett-Packard (laser printers), Microsoft (PC operating systems), and Bolo.com (online bookselling). All of these cases appear to prove the pioneer's advantage.Tellis and Golder argue quite convincingly that these examples prove exactly the opposite: pioneers are much more likely to be cursed to failure than blessed with long term success! The authors show that the real pioneers in the markets listed above are not the current market leaders. Gillette entered the safety razor market in 1903, but a company called Star, they find, had already introduced a safety razor in 1876. H-P entered the laser printer market in 1984, but IBM had one on the market in 1975. Microsoft introduced MS-DOS in 1981, but Digital Research had introduced its CP/M operating system back in 1975. Bolo.com entered the online bookselling business in 1995, but Clbooks.com/books.com was selling books online in 1993. Most of these pioneers are forgotten now - many are long dead. Yet the myth of the pioneer's advantage lives on.Using new and detailed historical research, Tellis and Golder systematically debunk the myth of the pioneer's advantage. The book refutes much conventional wisdom, and wonderfully weaves together hard data and vivid business stories to argue its thesis. Tellis and Golder are two of the world's leading experts on market entry and long term success. Their prior research has had a major impact on the academic business community. Yet if current and recent business practice is any indicator, few managers seem to be aware of the lessons that emerge from this remarkable stream of research. One only needs to think back at the Internet gold-rush to see this point.The bulk of the book is on the question: If pioneering does not explain market dominance, then what does? Again, Tellis and Golder bring fresh, unorthodox insights to this question. They organize the answer to this question along two dimensions: Vision and Will. Their arguments force one to rethink several common precepts. For example, they challenge the very notion "vision" as it's currently understood. Similarly, they point out that dominance is often seen as a function of luck, or being at the right place at the right time. In fact dominance is more a function of small, incremental innovations in design, manufacturing, and marketing over many years. Indeed, it took Procter and Gamble (a latecomer) 10 years of persistent planning and research to find success in the lowly disposable diaper market.Overall, the book is provocative and compelling, meticulously researched and highly practical. The case studies alone are worth the price of the book. But the novelty and persuasiveness of the insights make it one of the finest works on business strategy.