Bringing Strategy Back: How Strategic Shock Absorbers Make Planning Relevant in A World of Constant Change

Chapter 4MomentumSpeeding Past Shocks and Surprises

The Finnish communications giant Nokia dominated the market for tiny and trendy mobile phones in 2006. They essentially invented the category in the late 1990s, and quickly became the most valued brand in Europe. Obsessive about connecting with customers, Nokia relied on user-generated innovation to steer the ship. They never made a move without testing it first with consumers. Then, six short months later, Apple introduced the iPhone. It was a stunning surprise. The first in a long line of smartphones, Apple (and later Samsung) backed Nokia into a corner from which they will most likely never fully emerge.

Netflix, conversely, was on the winning side of surprise in 2009–10, when their disruptive ...