20 % of market leaders will lose their number one position to a less-than-20-year-old company because they will not have a digital advantage

Says Gartner

I believe you can put it another way; 'if you don't have a viable digital business model in your company, you will lose your number one, two, three position - or - you'll never climb to get amongst top 10 in your industry'

There's too many examples of disruptive business models radically changing the markets and how we do business; just think of Amazon.com, Uber, Netflix, AirBnB, etc. 

However, 'we' tend to think that this was bad luck for the others and that our line of business would never see such a radical change in the business model, just because of digital (r)evolution 

I guess that's what Kodak, travel agencies, producers of Compact Discs and a lot of bookstores thought too :-/ (just to mention a few)

Think of all the business that has suffered because new (digital) business models cut out the middlemen / traditional distribution channels and started selling products directly from the 'factory' - or completely turned the business and value proposition upside down (digital music, the iPad / smartphones, etc.)

And think the other way around too; the procurement departments cut out the vendors / brokers and the company starts dealing directly with the suppliers of the 'raw' materials (be it natural resources, financial services, etc.) to cut costs and enter the market with significant lower prices

20 % of all market leaders will lose their market position to young companies. Twenty percent

Take a look at your current business, your business model and modus operandi and think about what comes next; it's even a good idea to dust off the good old Five Forces from Porter and think about from where and when the next young company will emerge

Headline picture for this post is from http://digitaltransformationbook.com/

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