Quote of the week: C.K. Prahalad

“The more successful companies become, the more difficult it is for them to recognize when they must change. We all know that many industries, such as entertainment, education, publishing, and financial services, are going to look very different tomorrow, yet today’s market leaders will probably be the last ones to transform themselves, even if they realize they must in order to survive. Why do companies find it so tough to tackle the obvious? One reason could be that over time successful enterprises create distinct business ideologies—specific ideas about how to compete, performance measures, organizational structures, and whom to reward. The beliefs and practices constitute a company’s dominant logic. Every employee knows: That’s the way we do things here. But these success factors often turn into orthodoxies, and no one challenges them.”

C.K. Prahalad in Harvard Business Review