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How to Compete in Stagnant Industries
The need for the effective management of stagnant industries will grow as more and more industries decline or increase only modestly. A study investigating 12 stagnant industries focuses attention on strategies determining the success or failure of those industries. Research reveals three common characteristics of the strategies of businesses successful in stagnant industries: 1) they identify, create, and exploit growth segments within their industries; 2) they emphasize product quality and innovative product improvement; and 3) they systematically and consistently improve the efficiency of their production and distribution systems.