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Yet despite these offensive reasons to scale, the most common driver of blitzscaling is the threat of competition. Even without competition, you woul… - Reid Hoffman
" "Yet despite these offensive reasons to scale, the most common driver of blitzscaling is the threat of competition. Even without competition, you would still want to achieve first-scaler advantage and climb the learning curve, but you might prefer the less risky fastscaling approach to growth. Ask yourself, “Can somebody else realize this opportunity before me?” If the answer is yes, moving faster probably reduces the risk of competition more than it raises the risk of failure. The more intense the competition, the faster you should try to move.
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Reid Garrett Hoffman
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Reid G. Hoffman
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Additional quotes by Reid Hoffman
Viral” distribution occurs when the users of a product bring more users, and those users bring additional users, and so on, much like an infectious virus spreads from host to host. Virality can either be organic — occurring during the course of normal usage of the product — or incentivized by some kind of reward.
Despite all the chaos, and the inefficiency of manufacturing and shipping in small batches, Zara’s gross margins continue to exceed those of its competitors H&M (55 percent) and Gap (29 percent). That’s because all that inefficiency incurred in the pursuit of speed allows Zara to avoid one of the biggest drags on gross margin for almost any apparel company — overstock of designs that failed to sell. Ortega devised this model when he was sixteen years old — don’t order inventory and hope it sells; instead, figure out what people want, and then make it.
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