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The theory of supply and demand

Every market is driven by supply and demand. In general the supply is there to satisfy the demand. For most mature markets, demand drives supply. Greater the demand, greater is the supply. So, in general if you find a supply side gap, the gap can be mapped to a demand side gap.

The exception is when a new industry/service/product is being created - where the demand is created towards something new. This is a tough path to go forward on because creating new demand means educating customers, showing them something new/different/valuable/insightful and so on - and enabling them to see the value out of this new product.

The LnD role is generally a risk averse role - rather the people who run it go after client needs and if the needs are not met - there is a ripple effect. Either they are perceived as incapable or out of touch with business needs or something to that effect. So, LnD typically toes the line of what business wants. And usually businesses are clear on what they want and often on how they want it as well - because they need minimum disruption to the business and maximum clarity. And of course, budgets and timelines.

Given all these constraints and budget constraints the ability of the LnD to go beyond currently defined boxes into new boxes is difficult. And thus the market remains in a state of supply and demand equilibrium. Almost anything new - by its very nature will cost. And cost higher than usual solutions.

Want better content? Pay for it.
Want a better tech driven experience? Pay for it.
Want superior facilitation? Pay for it.
Want board game simulations? Pay for it.
Want to make something sticky? Well, it takes time and effort.
Want something really deep? It takes expertise
Want culture change? All of the above

And it is smarter to stick to people and companies who have delivered - after all why risk burning fingers with something new when returns arent clear and risk is high? And as a provider, you need to be able to justify the additional cost by promising additional returns. And sometimes that additional delta is not visible. Thus the world is stuck with a lot of things that are replicas of each other.

What is the way out? The way for a service provider to find one early adapter to try their ideas on. It may be easier said than done, but this the way to carve out a niche in the market. The way for an LnD leader is to find one business head who is willing to stick her neck out for something outside the box. 

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