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Irresistible! Markets, Models, and Meta-Value in Consumer Electronicsby George Bailey
Synopses & Reviews
“The consumer electronics world sets a blistering pace for innovation, and anyone hoping to keep up—or take the lead—should read this book. Insightful and comprehensive, it maps out the industry terrain, and then points the way toward opportunities that lie ahead. Bailey and Wenzek have put together a compelling read on this fascinating global industry.”
—Tom Kelley, General Manager IDEO author, The Ten Faces of Innovation
“Consumer electronics is one of the largest, fastest growing, most exciting, and most ruthless markets in the global economy. And technology and innovation are pouring into the space at an accelerating pace. Unfortunately, many vendors are not making money. Maniacal focus on return on investment is the key to success, and this book provides thought-provoking ideas on how to drive it.”
—Mike Bingle, Managing Director Silver Lake Partners
“An industry built on the foundation of market dominance is being shaken up. In consumer electronics, those keystone companies that appraise the innovative value of niche players regain profitable growth. This book outlines what it takes to win in a turbulent ecosystem.”
—Marco Iansiti, Professor of Business Administration Harvard Business School
The consumer electronics industry is entering an era of extraordinary growth. The industry’s best companies will ride that wave to unprecedented success. But, today, many CE companies are struggling with business models that are simply untenable. They must change to survive: they must change even more dramatically to win.
In this book, two world-renowned consultants preview the industry’s future—from online gaming to telehealthcare, and beyond. Next, they present a powerful new blueprint, offering indispensable guidance on everything from technology platforms to user interface design, branding to channel strategies. You’ll discover how to uncover new sources of value, design better models for doing business, and fuel growth by reaching new geographical markets. Whatever your role in the industry, this book will help you:
· Make better decisions, find your differentiators, and focus on your key success drivers
· Tap into the emergent “meta-value” that arises when technologies, devices, services, and content come together
· Reach tomorrow’s smart, service-sensitive shopper: not just the “technology-hungry” customers
· Widen margins by adding value consumers will pay for
· Transform cost structures to support rapid growth and nonstop change
· Sell into China, India, and other fast-growing emerging markets
· Preview “telehealthcare”: the surprising application for the living room
· Gain new insights into online gaming, smart home technology, and more
· Discover the immense power of IBM’s Cell Broadband Engine processor—and the business opportunities it enables
· Leverage embedded Linux to build more affordable, profitable, consumer-centric products
· Develop higher-value software for connected consumer electronics
· Differentiate products through state-of-the-art design and user interfaces
· Discover what the industry’s “winners” will look like in five years—and how to be one of them
The consumer electronics industry continues to grow at breakneck speed: from MP3 players to home healthcare devices, consumers are adopting new technologies faster than ever before. But most consumer electronics companies are struggling with razor-thin margins, or even losses. Their traditional business models simply aren’t working anymore. In Irresistible! Markets, Models, and Meta-Value in Consumer Electronics, IBM’s leading consumer electronic industry consultants reveal powerful new opportunities to profit—and offer realistic advice for leveraging them.
Drawing on their experience working with innovators from Helsinki to Osaka, the authors and contributors introduce revolutionary On Demand Business models for improving profitability, and identify tomorrow’s most profitable CE opportunities. They cover every element of success: technology, design, service, branding, channel strategies, and much more. Whether you’re an executive or engineer, strategist or entrepreneur, this book will help you find your differentiators, focus on your key success drivers—and become one of this industry’s big long-term winners!
In this book, two world-renowned consultants preview the industry's future-from online gaming to telehealthcare, and beyond. Next, they present a powerful new blueprint, offering indispensable guidance on everything from technology platforms to user interface design, branding to channel strategies. You'll discover how to uncover new sources of value, design better models for doing business, and fuel growth by reaching new geographical markets.
About the Author
George Bailey is IBM’s Global Managing Partner for the Electronics industry consulting practice and a member of IBM’s senior leadership team. In this role, Mr. Bailey is responsible for managing over several billion of IBM’s business within the Electronics industry, which encompasses clients in consumer electronics, semiconductor, and telecommunications equipment manufacturing sectors, among others. Mr. Bailey leads a global network of thousands of employees focused on the Electronics industry, helping companies transform innovative ideas into bold, meaningful actions that drive business success and enhance enterprise value for our clients.
Mr. Bailey is an internationally recognized authority on strategic change and has led large-scale, multi-year transformational projects for progressive global companies. He is a sought-after speaker and has published numerous books, articles, and white papers.
Mr. Bailey received an M.A. from Pepperdine University and a M.B.A. from Drucker School of Management at Claremont College. He resides in Greenwich, Connecticut with his wife and four children. He won his division in the 1995 Transpacific yacht race and remains an avid sailor.
Dr. Hagen Wenzek is the Global Leader for the Electronics industry at the IBM Institute for Business Value (IBV). In this role, Dr. Wenzek is responsible for developing and deploying thought leadership in the Electronics industry. He generates the industry insight in the think tank environment of the IBV, in close collaboration with IBM account teams, clients, and academia, such as the Harvard Business School.
In his role as an Associate Partner for IBM Business Consulting Services, Dr. Wenzek has the additional responsibility to engage Electronics industry clients. He has led global consulting engagements from large transformation projects to focused strategy projects. Furthermore, Dr. Wenzek presents the results of his work at international conferences and in lectures at renowned universities.
Dr. Wenzek received a Diploma in Electrical Engineering from Aachen University and a Doctoral Degree in Electrical Engineering from Hagen University, both in Germany. He lives in Heidelberg, where he trains to participate in swimming, running, and cycling competitions.
Table of Contents
About the Authors xix
About the Editors xxiii
Chapter 1: Irresistible Electronics, Turbulent Times 1
Chapter 2: The New Role of Technology and Services in Next-Generation Businesses 15
Chapter 3: The Consumer’s Internet—Thin Clients & Fat Hosts for Everyone 33
Chapter 4: The Smart Home : Coming to Your House Soon, but Not Too Soon 47
Chapter 5: Telehealthcare : The Key to the Living Room 63
Chapter 6: Online Gaming Environments : People, Technology, Money, and Social Networks 85
Chapter 7: The Soul of the Next Generation of Consumer Electronics Products 109
Chapter 8: IBM’s Global Technology Outlook and Its Implications to Consumer Electronics 125
Chapter 9: Embedded Linux : For Embedded Systems Today and into the Future 137
Chapter 10: Software Development Strategies for Connected Consumer Electronics 153
Chapter 11: Differentiation Through Product and User Interface Design 175
Chapter 12: Consumer Relationships : A Tale of Channels and Brands 189
Chapter 13: Consumer Electronics in China in Year 2011 209
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