The Power of Focus

A core principle of business strategy emphasizes that deciding what not to do is as important as deciding what to do. Apple's 1997 turnaround under Steve Jobs exemplifies this principle.

In 1997, Apple was facing significant financial challenges. Upon his return, Steve Jobs prioritized simplification and focus. Faced with numerous Macintosh models, he reportedly asked which product he should recommend to friends, highlighting the lack of a clear, concise product strategy.

Jobs oversaw a dramatic reduction in Apple's product line, ultimately focusing on a four-quadrant strategy: Consumer Desktop, Consumer Portable, Pro Desktop, Pro Portable. This focus was a key factor in turning around Apple's financial performance, contributing to a shift from a loss of over $1 billion in 1997 to a profit of $309 million in 1998. (Source: Apple's official financial reports, various biographies of Steve Jobs, e.g., Walter Isaacson's Steve Jobs)

Steve Jobs' simplified four-quadrant product matrix for Apple in 1997. ↑

Revisiting Apple's 1997 strategy offers a powerful reminder of the strength of focus. While we're often tempted to do it all, true power lies in prioritization – in choosing what not to do.

Consider creating a similar quadrant for your business. Can you clearly state the unique value of each offering? Even a large company like Apple, in 1997, needed to narrow its focus to just four product lines. Startups, with limited resources, require even greater focus.

Don't be afraid to say "no." Your and your team's energy is finite. Concentrate resources where they'll have the greatest impact. Less, done intentionally, often achieves far more.