Computing power and the internet have bestowed unprecedented reach, leverage and velocity on every aspect of business today. Highly scalable cottage industries with global reach have sprung up around the likes of eBay etc. enabled by technology. And technology has enabled investors of all sorts - from Middle East sovereign wealth funds to mid-western soccer moms - to participate in the re-allocation of capital to its most profitable and productive uses. Capital, energy, services and even physical goods are moving faster and more efficiently than ever, and knowledge workers remain plugged into their jobs 24/7 even on vacations. The corollary to velocity is a growing culture of impatience, re-allocating the supply and demand of both physical and financial resources at the slightest hint of disappointment.
So who can survive and thrive in this climate? Who will fail? Who will be the next Polaroid, the next Kodak, the next Xerox or GM?
More on this trend of Velocity & Impatience, and its implications for both managers and investors, can be heard on our latest Mergercast webcast: