About chewing more than they can chew?
There is a type of competition that is bad for everyone. It leads to a race to the bottom where everyone is rushing to compete based on price instead of innovative ways to solve problems. Take a look at the US’s domestic airline industry to see why.The kind I see in the Kenyan market is the “me-too” kind of competition. What kind of insights does safcom have in the car hailing service market to decide to make this app. They aren’t even the lead in this project, they are hiring a software dev company to do this for them.
4 Likes
Don’t forget the many companies that have a global presence in the world but have not been able to beat safcom.
Your strategy should be a quick/ early entry and quick exit. Biashara chache sana sio ‘copy-cat’ Kenya hii. Utaogopa hadi lini?
Whose?
Tafuta kwa youtube a talk by Peter Thiel called ‘Competition is for losers’. You’ll make mediocre profits by competing unless you have new insights that your competitors don’t.
2 Likes
Net/ gross? I thought that was gross profit???
True. Hapa Kenya very few companies use the blue ocean strategy to remain relevant. Everyone wants to package their product same way others do. No wonder the market is very predictable.
2 Likes
Ndio nashanga what people are taught in their MBAs kama hawajui even this.
MBA’s are overrated if you asked me! A friend who’s a HR manager in one of these companies in town says out of nearly 12 MBA’s at the establishment, only 2 appear to know what they are doing. And funny enough, the two went through diploma first before doing their degrees and finally MBAs. The other guys who went through undergrad are clueless!!
Safcom, there was a thread here about it
My take is the market niche is quite slim on this one for competion. As one had alluded above , If Safcom are in this for the sake of competition then it is an epic fail considering the business saw the likes of Easy Taxi who are the pioneers exit the scene. As it is I can confirm that Uber is firmly positioned on this one and I can bet they are able to match or even any market advances that Safcom might have on them. Leaving room for Innovation only.
2 Likes
Safaricoms main business is airtime, mpesa and internet services…all the rest are simple people trying to be relevant using company resources…look at the safaricom shops, a manager at that departments swears by it…and now this…The main problem with Safaricom is that they are too successful…and thus too much money just lying around…If they could start a Bank, they would…just for the sake of it