- Existing top-tier business school only teaches how to examine the past events and adapt to the present.
- The new study says that it’s not the perfect way to develop a successful business model.
- One needs to work on a forward-thinking strategy to evolve the business into a whole new space.
How did Bill Gates and Steve Jobs do it? What makes Ferruccio Lamborghini different from others? What about Starbucks and Whole Foods Market? These types of achievement stories reveal what’s possible when one thinks into long-term future instead of just re-enacting the history – a key to building a revolutionary business model in a fast-changing world, as per the new study.
Recently, researchers at the McCombs School of Business, University of Texas explained what it takes to build a successful empire. They say the key lies in a person’s ability to think in terms of future. Such type of imagination could be taught, and researchers call on other academics to validate their methodology and theory.
If Lamborghini was just a simple replication of the past, it would never have succeeded. It required a unique imagination to build future sports cars with different designs, and an intense focus on capitalism. This kind of thinking can be applied to any industry to evolve the business into a whole new space.
The Problem With Existing Business Schools
According to the authors, the standard course in most business schools, including the top-tier, does not focus much on strategic thinking. They teach how to examine the past events and adapt to the present.
The authors do agree it’s an important part of the strategy, but they believe that it won’t lead to extraordinary achievements without future-focused thinking. Although some curriculums offer forward-imagination strategic frameworks, they are optional (not compulsory).
Reference: Emerald Insight | doi:10.1108/S0742-332220180000039012 | University of Texas at Austin
What Encourages Strategic Thinking?
Design thinking, analogical reasoning, and anticipatory thinking are few components that could catalyze forward-thinking strategy. Authors believe that economic, social and technological trends might come together in the coming years to brainstorm new goods, which could open new markets.
Authors also emphasized upon utilizing well-established business models in completely new market spaces. For example, how Rent the Runway company started with new methodology: let customers borrow expensive clothes instead of purchasing. You can say they literally created the Netflix for costly dresses.
Design imagination – a method that involves utilizing design to enhance customers’ experience and develop new offerings – has all the potential to revolutionize the entire industry. As Bill Gates says ‘if you can’t make it good, at least make it look good’.
Read: AI Beats Top Lawyers In Spotting Risks In Everyday Business Contracts
In this study, authors have described that nowadays people are following mass marketing and low-pricing strategy. Thus, as market fragments and customers desire something more than just inexpensive service or product, the strategic thinking will become even more crucial part of the strategist’s job.
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