Innovation becomes decisive

Abstract

The existing online marketplace is concentrating economic power and diminishing the variety in mainstream outlets. Under pressure from globalizing retailers, for instance, consumer goods manufacturers led by Proctor & Gamble are slashing their ranges to focus on a smaller number of key products standardized for marketing to the world.² Advertising and brand building would still be beneficial in a GEMs selling environment, although not crucial. However, speed to market would be so fast and demand data so freely available that the range of products available to GEMs users is likely to be constantly refreshing itself. Big companies would be foolish to respond with nothing more than a small number of unchanging lines when brand extensions or new merchandise could be painlessly tried on thousands of waiting consumers.