KrisP’s Blog

August 14, 2007

The Art of Profitability by Adrian Slywotzky, review, Very Good

Filed under: Books review — Administrator @ 12:57 am

This book is a Fable which can be listened in 3-4 hours. I really enjoyed listening to this book on Audible. There are 2 characters in the Fable, David the teacher and Steve the student, discussing 23 profit models. David explains each model by a name and few companies adopting this profit model and a brief explanation.

Model 1: Customer Solution profit, Industrial Plastic, Autoparts, Telecom equipment Financial services companies

Model 2: Pyramid profit, Nokia, Chrysler

Model 3: Multi-component profit:, Hotel services, Coke (different price point in different location, like Vending machine, Grocery stores and restaurant)

Model 4: Switch board House architects, who have a team of complete package of specialized team to work with, structural designers, contraction engineers.

Model 5: Time profit: Intel,

Model 6: Blockbuster profit, Merc, Glaxo

Model 7: Profit multiplier, apply the successful business and replicate it into different products. Honda (Cars, Genset, Lawn movers, Boats, Industrial motors), Disney character (Mickeymouse, Goofy) advantage is lower R&D cost, improve the odds in success of new product.

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