Layer Player

A business that follows the Layer Player pattern typically focuses on a single or a few value chain activities. This type of business caters to a variety of market segments within a variety of industries. The typical customer of lts will be an Orchestrator, which outsources the majority of value chain activities to specialized service providers. As a layer player, the company benefits from its ability to specialize in terms of cost savings and multiplying know-how and intellectual property rights. As such, it frequently has the ability to influence and develop standards within its particular field to its own benefit. The Layer Player business model focuses on a single stage of the industry value chain, taking advantage of economies of scale and the advantages of superior expertise and capabilities. Typically, the business is able to expand into new fields. Amazon, for example, began by selling books and later expanded into other categories such as CDs, DVDs, and a plethora of other diverse products.

When and how to apply Layer Player:

As a layer player, you maximize the potential inherent in specializing and establishing yourself as a leader in your chosen field of expertise. You are capable of serving multiple industries and are adept at transferring skills acquired in one setting to another. If you work in a highly competitive environment, specialization may be the best option for you because it allows you to focus intensely on a core area of expertise while nurturing and developing your strengths. Well-known companies that use this pattern are PayPal and Visa.

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This Pattern is used by:

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