Is purpose the vital access to performance and the starting point of strategy?
What explains the variability in performance – revenues, profits, share prices – across firms who compete in the same industry? Why, for example, does IKEA do so well in the furniture industry when many other players struggle or have to accept modest performance? Is the answer that IKEA is customer-centric and the other players are not? Is it that IKEA delivers a superior customer experience?
Cynthia Montgomery in her book The Strategist explores this question and shares her answer. She says: