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Business Insights: Two reasons why even a flagship product might decline in profit over time

Observations/Reflections: On Declining Profit in a Flagship Product
Status: Dictated and Reviewed
Category: Business Management
Written: 12/05/2011
Published: 01/12/2012

Declining profit on a flagship product can usually be attributed to one of two problems: weak management or a weak (ening) value proposition. The latter can arise from problems outside of the leader's control, but if it remains unaddressed, then it becomes attributable to the former. The CEO is the ultimate steward of the value proposition.

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