This is a typical story from Rediff, Where all of a sudden without any visible context for an ordinary reader like me, offerring some theoretical battles of Management, even as we wonder what the content is about. And the headline of it is again is least bothered again or conversed in the same article. Wov, Just as it is written by your founder, how can you serve some unchewable dish like this? And comedians like the first commentator will start putting sh1tt here to make matters more complex :)
Core competence has always flourished and Prahalad and Gary have just highlighted Corporate examples. Let us look @ some examples from the Indian context in the Food Business. A particular dish / snack becomes almost a legend for the restaureter (eg: Batata Wada from XXXX in Dadar Mumbai, Masala Dosa from XXXX in B'lore etc). These people have other stuff to cater in their menu but, they are well aware of their USP/best bet/most sought offering. Their core competence esures that other products are also well sold under the same brand. Core competence gives an advantage in terms of publicly acknowledged acceptance where Diversification comes with an element of DOUBT and Suspicion regarding the capabilities in the new field of entry of the established player in an unrelated field. Core competence scores over Diversification in this very aspect. Moreover in regional business HYPE has its advantage which is denied to the diversification oriented. They are looked at players with Financial might rather than expertise or experience (relevant or irrelvant to their new field og operaion
