PRSRT STD US POSTAGE PAID BOISE, ID PERMIT 411
3030 Lyndon B Johnson Fwy, Ste. 220 Dallas, TX 75234
INSIDE THIS ISSUE
Senior Attorney Spotlight on Sanford Holmes page 1 Old Paperwork, New Legal Problems page 2 Stop Shouting Into the Void, Nail Your Niche Instead page 2 The Legal Side of Franchise Season page 3 Moroccan-Spiced Chicken and Couscous Skillet page 3 The Hidden Costs of Copying the Competition page 4
The Case Against Copycats The Strongest Brands Are Built, Not Borrowed
Developing a hot new product or service in today’s marketplace is a daunting challenge. Some of the most impressive business successes have come from scientific or technological breakthroughs, such as weight-loss drugs and artificial intelligence (AI) apps. Others are extensions of existing technology. Either way, innovation requires significant behind-the-scenes effort and risk-taking, and in almost every case, it spawns an army of imitators. Many businesses are tempted to take the easier path and imitate their most successful competitors rather than striving to innovate. Consider the stampede of restaurant operators into fast-food chicken chains. Amid our national love affair with high- protein meats, new chicken restaurants are popping up on every street corner. In a competitive frenzy of that magnitude, new
entrants’ unique brand stories risk being lost in an oversaturated market.
Copycat strategies also tend to lure businesses into a price war. Grocery
chains have squeezed their profit margins mercilessly by mounting head-to-head promotions. In contrast, those that offer consumers something genuinely new, such as H-E-B or Aldi, have maintained more control over pricing and profit. A copycat business strategy also erodes a business’s culture and morale. Product development and marketing teams that spend most of their time working on knockoffs begin to see themselves as inferior. The ultimate result of copycat marketing is mediocrity. In contrast, departing from the herd to launch a new brand with a distinct purpose and identity gives customers a reason to choose it over others.
To break the copycat cycle, look beyond competitors for ideas. Invest in innovation by drawing on workshops and design- thinking strategies to empower your teams. Also, find a way to reward the development and testing of new products and ideas. And treat failure as an inevitable byproduct of innovation. By consistently investing in innovation, companies can build brand identities that attract top talent and inspire customer loyalty. Over time, they can also reap bigger profit margins, lasting growth, and the rewards of being the direction-setter others want to follow.
4 · SulLeeLaw.com
Made with FlippingBook Ebook Creator