![]() ![]() and Herman Aguinis (633,263 researchers, entertainers, politicians, and athletes in a total of 198 samples) found that performance in 94 percent of these groups did not follow a normal distribution. Research conducted in 2011/12 by Ernest O’Boyle Jr. This article has looked at the bell curve: at its simplest there are under-performers, the rump and over-performers.īut does the world really work this way with a nice even distribution between the highs, middles and lows? Clearly the answer is no. In fact, I find it difficult to think of a single area where the stars do not get a disproportionately larger return on their investment. The same is true of the investments in strategy and planning, product and service design, brand development, training and development. As a result, their margins are much higher and they can afford to spend more time and money investing in the brand, the offering, and creating proprietary value-adding products and services. They charge disproportionately higher prices and set themselves apart. In a price-sensitive market, margins get squeezed and it becomes a buyers’ market. In the rump, most people feel they are competing on price. ![]() Prices - Price-takers exist in the rump (as opposed to price-makers in the stars). They might focus on writing relevant and significant pieces, taking, say, 10 hours to create a 5,000 word piece that people will stop and read because it has depth and breadth and is different from the glorified tweets that most blogs have become. On the other hand, the star bloggers are very different. As a result, the blog looks like all the other general comment pieces that don't really add a thing of great significance to the already burgeoning body of mediocrity that everyone feels the need to contribute to. Maybe each blog takes one hour to write and runs to, say, 500 words. The stars tend to behave in different ways from those in the rump.īlogs - Rump bloggers tend to blog a couple of times a week. More often than not, the top 20% of performers will account for the top 80% of profits in the marketplace. The stars will be disproportionately more profitable. More interesting will be the distribution of profits. If you use the bell curve to consider your marketplace, you will find: ![]() They employ the same sort of people with the same qualifications and backgrounds to use the same software and hardware to sell the same products and services to the same types of customers, using similar websites and similar techniques to sell their similar products at similar prices. ![]() In most markets, it is fair to say that most businesses look virtually identical. For the purposes of this article I would like you to consider how your business behaves, what it does and how it is seen by the outside world. In the middle is the rump, where the majority lie.įor example, the curve can be applied to runners (a few dreadful ones, a few stars and the rump, the majority, in the middle), cooks, businesses, entrepreneurs and so forth. The bell curve (AKA the normal distribution curve) suggests that in most fields there are some very poor performers and some exceptional performers. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |