Question
The resource "Competing Against Luck" has influenced corporate strategies and business models by introducing the concept of "Jobs to be Done" theory. This theory suggests that customers hire products or services to get a job done. Understanding this job can lead to successful innovation. For instance, in the case of OnStar, they realized that customers hired their service for peace of mind, not just as a luxury. This understanding could lead to a shift in business strategy, focusing more on the job to be done rather than the product itself.
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OnStar earned an estimated $2.5 billion in revenue and $500 million in net profit for GM annually despite negative net assets. GM initially designed the service for its luxury customers. The company was surprised to find that cost-conscious Chevy drivers were just as likely to purchase OnStar as Cadillac owners. It turned out users "hired" OnStar for peace of mind, not "nice to have" services.
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