Inspired by this blog on “Pink Slip,” “Business Darwinism and the will to survive“, I ponder how even great companies survive long term. The very concept of lasting [forever] can almost seem counter intuitive (in the world of capital markets). I see the cycle of even those companies “built to last” as destined to un-last or unravel. In the beginning, there is great euphoria. The future is bright, money is raised. As [sales] growth continues, so stock price climbs. Then we track growing market shares. As market share grows ever higher, growth starts to slow. Pricing goes premium and the real game becomes growing the industry. The goodwill of the brand name becomes current currency. Stock dividends come into the picture and the stock stops its ascension upwards in anticipation of further deceleration. Because of the slower growth, there is rotation in the institutions owning the shares. And if market share does continue to grow (depending on how much the industry itself still grows), finally the threat of anti-monopoly or fat cat management inevitably set in. Brand extensions fall flat or dilute the original brand name. Stock price crumbles. Time for reinvention. Merger, takeover, MBO, LBO or other follow to start another cycle. If the company has created a true brand with a real DNA (and a passionate consumer base), then one has to believe the brand may survive, even if the company does not. Whether or not the few companies cited in Jim Collin’s Built to Last continue to survive given the ever changing consumer habits, all the remainder of the “normal” companies are subject to the laws of a true life cycle. Even entirely private fully funded companies that can shun the pressures of their [capital market] stakeholders face the issues of life cycle when it comes to handing over the baton to the next generation of the family — and that could be the subject of another blog altogether. In the meantime, you might enjoy reading this well crafted blog and several comments “Built to Last – Not.“
The life cycle of a [successful] company and the importance of the brand

Minter Dial
Minter Dial is an international professional speaker, author & consultant on Leadership, Branding and Digital Strategy. After a successful international career at L’Oréal, Minter Dial returned to his entrepreneurial roots and has spent the last ten years helping senior management teams and Boards to adapt to the new exigencies of the digitally enhanced marketplace. He has worked with world-class organisations to help activate their brand strategies, and figure out how best to integrate new technologies, digital tools, devices and platforms. Above all, Minter works to catalyse a change in mindset and dial up transformation. Minter received his BA in Trilingual Literature from Yale University (1987) and gained his MBA at INSEAD, Fontainebleau (1993). His books include Heartificial Empathy, Putting Heart into Business and Artificial Intelligence, bowed in December 2018 and won the Book Excellence Award 2019 as well as being shortlisted for the Business Book Awards 2019. It's available in Audiobook, Kindle and Paperback. He is also co-author of Futureproof (Pearson, Sep 2017) and sole author of The Last Ring Home (Myndset Press, Nov 2016), a book and documentary film, both of which have won awards and critical acclaim. Minter's latest book, You Lead, How being yourself makes you a better leader, published by Kogan Page, won the Business Book Award 2022 in the category of Leadership. It's easy to inquire about booking Minter Dial here. View all posts by Minter Dial
Hi Minter ! Great blog ! Congratulations. :o)
Hi Minter,
Thanks for the link to Built to Last–Not, and your own thoughtful comments. Quite right, methinks.
Also, having spent a year in Europe myself a hundred thousand years ago, it’s interesting to read your take on it. Good blog, keep up the good work.