Legendary retailer Sam Walton and Whole Foods founder John Mackey both engaged in the age-old practice of closely following competitors to improve their own businesses. This involved visiting competitor stores, hiring away talented employees, and acquiring competitor businesses. This strategy is common in all aspects of business, including the National Football League, where teams frequently copy successful strategies from others. However, success is not guaranteed by simply imitating competitors, as businesses must also anticipate future trends and execute effectively in the marketplace.
Home Depot co-founder Arthur Blank emphasized the importance of not standing still in business, as competitors will quickly surpass those who do not innovate. Despite this, there has been recent backlash against Amazon for their efforts to learn from competitors, such as hiring a Trader Joe’s employee to enhance their offerings. However, this practice is nothing new in the competitive world of business, where companies frequently seek to gain an edge by observing and acquiring knowledge from others in the industry.
Acquiring market knowledge, talent, or other businesses does not guarantee future success, as effective execution is key in the marketplace. Blank’s advice that the present is inevitably the past reinforces the need for businesses to continuously evolve in order to stay ahead of the competition. While Amazon’s actions may be scrutinized by the media, ultimately their success or failure will be determined by their ability to adapt to the changing market landscape.
Amazon’s decision to hire a Trader Joe’s employee to improve their Wicked Prime offering is a strategic move that demonstrates their commitment to staying competitive in the market. By investing in acquiring competitor expertise, Amazon is taking proactive steps to enhance their business. Whether or not this strategy will pay off remains to be seen, but by actively seeking ways to improve, Amazon is positioning themselves well for the future.
In the world of business, it is essential to closely follow competitors, seek out new opportunities to learn and grow, and avoid becoming complacent. By observing what others are doing, hiring talented individuals, and acquiring competitor businesses, companies can gain valuable insights and stay ahead of the curve. Ultimately, the success of businesses like Amazon will be determined by their ability to adapt to the ever-changing marketplace and effectively execute their strategies. Only time will tell if Amazon’s efforts to acquire competitor expertise will lead to future success, but their proactive approach is a promising sign of their commitment to staying competitive in the industry.
