By Sanjeev Krishan, Chairperson, PwC India
In an era defined by disruption, rapid technological changes and increasing fragmentation, the foundations of value are shifting. With the global landscape evolving at a rapid pace, businesses are being challenged in unprecedented ways. The frequency, intensity, and multifaceted nature of disruptions along with changing consumption patterns and regulatory concerns necessitate continuous vigilance. From AI writing code and creating full-fledged movies to digital ecosystems dissolving traditional industry boundaries, reinvention is reshaping the world as we know it. Traditional moats of incremental innovation and brand loyalty are eroding, forcing companies to rethink strategies, business models, and even core identities.
Product-centric companies are moving towards service-oriented models and service-centric companies toward product and platform-based models. Companies are not only diversifying revenue streams and embracing technology, but also partnering with technology providers, start-ups, and even competitors to build ecosystems that co-create value and improve access to new markets. As a result, value is no longer confined to traditional industry boundaries but is being created and captured in new and unexpected places.
Reinvention in the present
Let’s take the automotive industry. With electric and autonomous vehicles gaining traction, value pools are shifting towards software and mobility services. Similarly, banks are being challenged by new entrants which are providing hyper-personalised services. Companies are also exploring novel ways to monetise resources and byproducts in a more responsible way. For instance, waste heat from a data centre warmed swimming pools during the 2024 Paris Olympics.
In other sectors, firms are leveraging bundling and product line expansion to capture more value. Telecom operators are combining data plans with OTT subscriptions and entering content creation. This isn’t just a “combo pack” but a structural shift blurring the line between telecom and media houses. By subsidising entertainment, telecoms are stimulating data consumption, improving network utilisation, and mining existing accounts better.
Reinvention in the past
Shifting profit and value pools are not a new phenomenon—the changing mix of S&P 500 and other indices is proof. However, the interconnectedness of these shifts demands rapid realignment and reinvention.
Soap operas, which one could argue were the precursors to modern on-demand content, were originally sponsored by soap manufacturers to advertise en masse. Similarly, the Michelin Star, today recognised as a prestigious restaurant rating mechanism, has its roots in an innovative campaign to boost tyre demand. Just as marketing strategies evolved to influence and respond to consumer behaviour, manufacturing has undergone transformative changes.
In reference to Model T—an outcome of reinvention in manufacturing—Henry Ford famously stated, “Any colour the customer wants, as long as it’s black.” Au contraire, today’s consumers expect the metaphorical “best of both worlds”, demanding hyper-personalised products and services. These consumers are more informed, connected, value-driven, novelty-seeking, and much more likely to give in to instant gratification than customers of the past.
Reinvention for the future
The evolution from mass production, marketing, and customer engagement to today’s hyper-customisation reflects how businesses are continuously adapting both—how they create value and how they engage with consumers. With emerging technologies, democratisation of access, and increasing acceptance of technological integration with daily lives, the opportunities to innovate are immense.
Take the basic wristwatch, which some had written off as a casualty of the smartphone era. With evolving smart glasses, the internet of things, and augmented reality technologies, it is not far-fetched to wonder whether smartwatches may one day lead to smartphones receding into the background and even take over as smart home hubs, identity cards, and many other devices.
Though fantastical, such ideas matter as they reveal a deeper truth—incumbents defending industry borders will compete with companies which shape value across traditional confines. Companies must rewire for speed, agility experimentation, and develop an appetite for risk. Hierarchies and silos must give way to cross-functional operations and faster decision-making. Companies that experiment with new products and services and iterate rapidly based on customer and market feedback will benefit.
Today’s value shifts are unparalleled, and value will come to those who are proactive rather than reactive. Incumbents must overcome organisational inertia, legacy systems, and cultural resistance to change. Emerging technologies such as quantum computing, blockchain, and advanced robotics will further disrupt existing value pools. Early signals of this are already emerging.
For instance, auto companies are partnering with quantum computing players to improve battery chemistry and agricultural machinery manufacturers are reducing herbicide usage through machine learning. Thus, cultivating a mindset of continuous learning is critical. While regulatory pushback, privacy concerns, and slow consumer adoption curves may impact outcomes, hesitation to adopt new technologies and exploring new value pools carries a greater risk. Waiting for a new model to be “proven” may result in companies ceding value to players who enter from the edge instead of the core.
The message is clear—in a world where value is constantly being redefined, sustainable competitive advantage comes from the ability to anticipate, adapt, and innovate. The future belongs to those who are willing to challenge the status quo, experiment boldly, and place the customer at the heart of their strategy. We have entered an era shaped by new domains of growth where organisations work across boundaries to serve fundamental human needs—how we care, how we move, how we fuel, and so on. The sands of value may be shifting, but for those prepared the opportunities are limitless and it’s time to look for growth in new places.
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