Major league owners are famously reluctant to release franchise-specific financial information. However, Forbes estimates that the value of the Red Sox has climbed from about $500 million in 2002 to $900 million in 2011 — an impressive 7% annual growth.
Companies seeking to revitalize seemingly stagnant businesses can take three lessons from the Red Sox success:
1. Question orthodoxy. Of course you can’t put people on top of the Green Monster. Or host a hockey game in Fenway. Or can you?
2. Systematically evaluate business model options. A business model describes how an organization creates, captures, and delivers value. Consider all of the different levers at your disposal to create growth.
3. Look to the peripheries. Cable broadcasting and fan clubs aren’t obvious places to look for growth. Growth often comes from carefully examining the edges of your current business.
Just because a business is mature doesn’t mean there isn’t room for growth. If the Red Sox can find growth in an almost 100-year-old stadium, surely corporations can find growth in products and services that seem to have leveled off.
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