Has The “System” Reversed?

by Jay Deragon on 07/16/2009

Will The Flow of Business Reverse?

Business models have shifted over time. Each time models shift the practice and processes  of management have to shift as well.

Current business models follow a linear path of production and service. At the end of all the connected business processes is the customer, the markets and the ultimate economic transaction. media and price.

Price was influenced by the markets  efficiency of the delivery and value created. Most of today’s business minds are viewing the social web in the framework of the old systemic design of a business, with the customer at the end. However, the social web does not lend itself  to old business models rather it is an inverted systemic flow which starts with the customer and flows backwards.

This dynamic is just now starting to create rippling effects throughout traditional markets and business models. The dominant response has initially been from advertisers trying to reach consumers in a more direct way and with demographic affinity to their brand. However, advertisers are repeating old methods of “pushing” their message rather than “pulling” consumers to them.

The emerging shift in business flow will require businesses to make shifts in their thinking in order to both maintain and gain new customers, markets.

Shifts are happening in the following business categories:

  1. Advertisers are being forced to learn how to become conversational.
  2. Marketing : Brands are being forced to learn how to be social
  3. Technology:  enhancements are accelerating faster than the average user can keep up
  4. Communications: New mediums and an increase in communications is flourishing.
  5. Industry specific initiatives: Many brands and entire industries are running to  social media to improve customer loyalty and brand awareness.
  6. Media : Many media companies are just now recognizing the influence of citizen journalism
  7. Financial: New methods and innovation are flipping economic models on their heads
  8. Telecommunications: Social networking  applications are proliferating the decks of mobile handsets globally.
  9. Your World : More adults are jumping into and learning the value attributes of social media.
  10. You : Directly and indirectly we are all being influenced by these dynamics.


All of these dynamics collectively are pointing to significant disruption for those unprepared or unaware. The impact of these dynamics will create strategic shifts for all business models and means. The old strategies are no longer relevant, the new strategies are dynamic and emerging moment by moment. However there is a macro landscape of strategic issues that provide the basis of thinking, or rethinking, about business models. The big will have a different kind of bigness.

The Relationship Economy encourages a reversal of the traditional system. It supplies technology and conversations  to nurture innovation. Being able to grasp these dynamics is critical to effective strategic thinking. These dynamics are shifting weekly and in the past changing business dynamics occurred two to three times a year at most, now they happen at the click of a mouse. The dynamics cut across all dimensions of life as we’ve known it and new dimensions and a new reality is forming before our eyes. To ignore these dynamics could mean peril to those unprepared……sooner than later.

What say you?

{ 17 comments }

Aron Stevenson July 17, 2009 at 5:00 am

Has The "System" Reversed? | The Relationship Economy…… http://ow.ly/huyo #business

AronStevenson (Aron Stevenson) July 17, 2009 at 5:04 am

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Has The “System” Reversed? | The Relationship Economy…… [link to post] #business

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Brian C. Citizen July 16, 2009 at 10:35 pm

Daily Deragon Dose: Has The “System” Reversed? http://bit.ly/noZ7H

BrianCitizen (Brian C. Citizen) July 16, 2009 at 10:38 pm

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Daily Deragon Dose: Has The “System” Reversed? [link to post]

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Business 3.0 Tech. July 16, 2009 at 12:33 pm

Has The “System” Reversed? http://tinyurl.com/mz6fcw

JDeragon July 16, 2009 at 10:15 am

New blog post: Has The “System” Reversed? http://bit.ly/N4R6L

steven knurr July 16, 2009 at 8:52 am

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scknurr (steven knurr) July 16, 2009 at 8:56 am

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RT @tweetmeme Has The “System” Reversed? | The Relationship Economy…… [link to post]

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Angela Suddarth July 16, 2009 at 7:14 am

[email protected] Has The “System” Reversed?: The dynamics cut across all dimensions of life as we’ve known.. http://bit.ly/tP9nc

Martin July 16, 2009 at 7:14 am

[email protected] Has The “System” Reversed?: The dynamics cut across all dimensions of life as we’ve known.. http://bit.ly/tP9nc

Rob Harvey July 16, 2009 at 6:39 am

Has The “System” Reversed?: The dynamics cut across all dimensions of life as we’ve known it and new dimensions .. http://bit.ly/1TiiPk

Achievers Network July 16, 2009 at 5:49 am

Has The “System” Reversed?: The dynamics cut across all dimensions of life as we’ve known it and new.. http://bit.ly/noZ7H

JDeragon July 16, 2009 at 5:18 am

Has The “System” Reversed?: The dynamics cut across all dimensions of life as we’ve known it and new.. http://bit.ly/noZ7H

prblogs (prblogs) July 16, 2009 at 5:43 am

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RelationshipEcon: Has The “System” Reversed?: The dynamics cut across all dimension.. [link to post]

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JDeragon (JDeragon) July 16, 2009 at 5:21 am

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JDeragon (JDeragon) July 16, 2009 at 5:20 am

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JDeragon (JDeragon) July 16, 2009 at 5:19 am

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New blog post: Has The “System” Reversed? [link to post]

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