Problem:
In this case study, the founders of the Big Idea Group (BIG) acted as the middlemen between those individuals with ideas for children's products and those companies that were interested in developing the idea. After establishing a process for selecting ideas with good potential and matching them with the best corporation, managers at BIG felt very confident about how things were progressing. They decided that it was time to expand into another field using the same business model.
The authors state, "Collins said he believed that BIG's system created a virtuous cycle that built potent barriers to entry."
Assume you are in the home and garden industry and BIG would become a competitor of yours if they expand into this industry. Based on your resources:
What are the strengths of BIG's plan?
What are the weaknesses?
As a competitor, how would you attempt to break that "potent barrier" and stay profitable?
Prepare a brief memo to your boss outlining your proposed plan of action.