I’ve noticed that companies often gravitate toward focusing on hard technology and product challenges (the “can we do it?” aspect) at the expense of deeply and truly understanding the potential market risk or opportunity (the “should we do it?” aspect) first.
In this post I’ll explain why corporate R&D and entrepreneurs need to focus a lot more on the “should we do it?” in addition to the “can we do it?”.
I don’t see enough companies clearly distinguishing the difference between “should we do it” and “can we do it” when building new ventures.For example, the large companies I work with have enormous R&D budgets. However, their budget mainly goes towards solving hard technological or product problems. In other words, R&D is mainly focused on “can we do it” product and technology questions at the expensive of cracking hard market, business model or value proposition questions.