In the next decade the ongoing digital revolution will continue to break down borders between sectors of industry, allowing savvy operators to compete simultaneously in multiple sectors. Your company must recognise and accept this impending change now and create a gameplan for a borderless economy, write Venkat Atluri, Miklos Dietz and Nicolaus Henke for McKinsey Quarterly.
Major players such as America’s Amazon, Japan’s Rakuten Ichiba and China’s Tencent – “digital natives that are not defined or constrained by any one industry” and are “simultaneously competing in multiple sectors” – are outliers in 2017. But in the next ten years, the onward march of digitisation is going to change the nature of the game for everyone – including your company.
The borders between different sectors of industry will break down, leading to the emergence of new “digital ecosystems” comprising diverse players who will provide multi-industry, digital solutions. These players will meet the rising expectations of customers who already expect personalised solutions to be delivered in a heartbeat.