From the course: Designing Growth Strategies
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Disaggregating and reaggregating
From the course: Designing Growth Strategies
Disaggregating and reaggregating
- Consider the evolution of Honda Motor. When Soichiro Honda founded the company in 1946, its initial product was motorized bicycles. That is bicycles powered by small, two-stroke engines. From there, in 1949, Honda entered the motorbike business. By 1964, it had become the world's largest manufacturer of motorbikes. In 1963, Honda entered the car business. And today, it is the world's eighth largest automobile manufacturer. Since then, Honda has diversified into a number of other well-known product lines, including lawnmowers, leaf blowers, hedge trimmers, snow throwers, stand alone power generators, outbound engines for boats, and so forth. Each of these diversification moves represents unbundling and rebundling. By unbundling I mean unpacking the bundle of tangible and intangible strengths that account for the company's success in the current business and picking only a subset of these for carry over…
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