What Works
Each edition of this newsletter contains a section I call "What Works."
Each edition of this newsletter contains a section I call "What Works." In this edition, I'm launching a new series of articles about why organizations go off course. This series offers a counterpoint to the lessons in my other series: Why Organizations Thrive. For fans of that series, don't worry, I'll still be adding to it. But I've developed a series of ideas about why organizations go off course and this one just kept popping into the front of my mind. I've been involved with at least two social impact organizations that I feel went awry because they failed to recognize the importance of analyzing the competitive environment as part of a planning process. To explain why, I'd like to start with a thought-experiment from the for-profit business world and then ask how it applies to the challenge social impact organizations face when developing strategic plans. In particular, organizations sometimes go off course in determining their core niche and primary marketing strategy when they fail to account for competition. Imagine you are a fruit vendor in a world where there's two types of fruits - apples and bananas. You've been focused mostly on bananas, but also sell apples. You're not doing so great compared to some of your competitors.
So you commission a study to talk to potential fruit buyers - both your existing customers and people you've identified as potential customers. Among the things they tell you - by about a 2-1 margin, they would prefer a fruit vendor that focuses on selling apples. So you decide to start emphasizing selling apples in your marketing, and rejigger your fruit vendor stand to make apples more prominent. In theory, this means more customers will want to shop at our fruit stand. Right? Possibly, but in some circumstances the opposite will happen -- an effort to rebrand yourself to appeal to more fruit buyers could backfire. Why?
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