Tuesday, December 15, 2009

How maximising the net is the number one objective for an enterprise

As the online world and the destiny of a firm combine,the health of the matrix becomes paramount.

That's the conclusion of Kevin Kelly who wrote 10 years ago that:

Whereas once it was maximising the enterprise and the market place which ruled now

Maximizing the value of the net itself soon becomes the number one strategy for a firm. For instance, game companies will devote as much energy to promoting the platform--the tangle of users, game developers, and hardware manufacturers--as they do to their games. For unless their web thrives, they die. This represents a momentous change--a complete shift in orientation.

Furthermore it also involves feeding the network

During certain phases of growth, feeding the network is as important as feeding the firm. Some firms that already have large market shares (such as Intel, which owns 80% of the PC processor market) channel money, through minority investments, to younger firms whose success will strengthen the market for their products, directly or indirectly. They feed the web because it is good business.

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