Intrenion

7 Powers (Hamilton Helmer)

Table of Contents

• Practice 1: Expand scale to lower unit costs
• Practice 2: Grow a network that becomes more valuable
• Practice 3: Compete with a business model incumbents cannot easily copy
• Practice 4: Build products that customers depend on
• Practice 5: Earn trust through consistent quality
• Practice 6: Secure exclusive access to scarce resources
• Practice 7: Continuously improve unique operating processes
• Practice 8: Make early choices that build durable power
• Practice 9: Build multiple sources of competitive power

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7 Powers (Hamilton Helmer)

Practice 1: Expand scale to lower unit costs

Problem
Higher unit costs reduce your ability to compete.

Action
Increase volume until the scale lowers the per-unit cost.

Outcome
Lower costs create a durable competitive advantage.

Chapter: Strategy Statics - Scale Economies

Practice 2: Grow a network that becomes more valuable

Problem
A weak network gives people little reason to join or stay.

Action
Attract participants whose presence increases the network's value to others.

Outcome
The network becomes stronger as more people use it.

Chapter: Strategy Statics - Network Economies

Practice 3: Compete with a business model incumbents cannot easily copy

Problem
Established competitors avoid changes that weaken their existing business.

Action
Use a business model that incumbents have little incentive to match.

Outcome
Competitors respond more slowly to your strategy.

Chapter: Strategy Statics - Counter-Positioning

Practice 4: Build products that customers depend on

Problem
Customers switch easily when changing providers has little cost.

Action
Create workflows, data, or integrations that customers rely on.

Outcome
Customers remain with your product longer.

Chapter: Strategy Statics - Switching Costs

Practice 5: Earn trust through consistent quality

Problem
Customers hesitate when they cannot judge quality before buying.

Action
Deliver a reliable experience that consistently fulfills your promise.

Outcome
Customers choose your offering with greater confidence.

Chapter: Strategy Statics - Branding

Practice 6: Secure exclusive access to scarce resources

Problem
Shared resources rarely create lasting competitive advantage.

Action
Control valuable resources that competitors cannot easily obtain.

Outcome
Your position becomes harder to replicate.

Chapter: Strategy Statics - Cornered Resource

Practice 7: Continuously improve unique operating processes

Problem
Ordinary operating methods are easy for competitors to copy.

Action
Refine internal processes through repeated learning and experience.

Outcome
Execution becomes a lasting competitive advantage.

Chapter: Strategy Statics - Process Power

Practice 8: Make early choices that build durable power

Problem
Growth without competitive power is difficult to sustain.

Action
Invest in advantages that become stronger as the business grows.

Outcome
Growth produces lasting competitive strength.

Chapter: Strategy Dynamics - The Path to Power

Practice 9: Build multiple sources of competitive power

Problem
A single advantage may weaken as competition changes.

Action
Add new sources of power as the business develops.

Outcome
The business becomes more resilient over time.

Chapter: Strategy Dynamics - The Power Progression