The book begins with the radical notion that costs are not static. In 1966, BCG discovered that a company’s unit production costs fall by a predictable percentage (typically 20 to 30%) for every doubling of accumulated production volume.
Bruce Henderson was an American businessman, consultant, and author, best known for founding the Boston Consulting Group (BCG) in 1963. During his tenure at BCG, Henderson developed many influential ideas on business strategy, including the concept of the "experience curve," which posits that companies can achieve cost savings and improve efficiency by accumulating experience in a particular area. Henderson's work has had a lasting impact on the field of business strategy, and his ideas continue to be studied and applied by business leaders around the world.
Boston Consulting Group. “BCG Classics Revisited: The Experience Curve.” BCG Publications, 2013. the logic of business strategy bruce henderson pdf
In today's fast-paced and competitive business environment, strategy is more important than ever. Companies that can develop and execute effective strategies will be well-positioned for success. Those that fail to do so risk being left behind.
: Low growth, low share; typically weak positions that should be divested. The book begins with the radical notion that
Generate more cash than they can reinvest profitably. This excess cash must be harvested to fund other ventures.
Henderson’s logic is built upon several foundational concepts that remain central to modern management: Boston Consulting Grouphttps://www.bcg.com New Logic of Competition | BCG During his tenure at BCG, Henderson developed many
A search for "The Logic of Business Strategy Bruce Henderson PDF" often leads to Chapter 3, where he graphs this curve. Without that graph, the logic is incomplete.