Business model innovation is often self-defeating and self-destructive. The real problem with business model innovation is that it dilutes the incentives to make good stuff in the first place.
Business model innovation creates a kind of adverse selection. It offers a kind of insurance: if we can find more efficient ways to sell stuff, we don’t have to make better stuff. When we invest in selling stuff better — instead of making better stuff — unsurprisingly, the stuff we make often turns into lemons.
The 90s and 00s have been full of companies churning out the same old lame, toxic junk and trying to sell it in new ways — instead of detoxifying it.
Harvard Business Publishing | The Best Business Model in the World
Quote: Don Hertzfeldt's "Rejected"
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