I have used the terms digital and data technology interchangeably. And I have described them as things made of bits and bytes. Of ones and zeros. Instead of physical products and services. And I have spoken quite a bit about how things made of bits and bytes have different economics. They have powerful but also […]
A moat is a competitive advantage that allows a company to generate sustainable profits. There are three levels of moat strength: competitive fortresses, competitive advantages, and competitive nuisances. Companies with strong moats are more likely to be successful in the long run.
Digital transformation and disruption are usually about attacking the cost structures of established business models. Software companies have long used digital economics to devastate traditional companies. When Marc Andreesen says “software eats the world”, he is mostly talking about costs. But as soon as you talk costs, everyone jumps to “economies of scale”. These are […]