Cultivating relationships, refining business models and leveraging new and emerging technologies were key themes of presentations made by the eight panel members that included keynote speakers Michael Capellas, chief executive officer of Compaq Computer Corp., and Jeff Skilling, president and chief operating officer of Enron. Members of the panel offered seven rules for success in the new economy.
Technology is key .
Vertically integrated companies that have direct control over various aspects of the production and distribution processes are likely to realize the value of de-integration, Skilling said. Utilizing lower cost, high-quality components or services offered by service providers within an industry in lieu of vertical integration has historically proven to be the better business model than an integrated model, he said. However, interaction costs involved in coordinating activities with vendors and suppliers often are high in nonintegrated companies. There's a great opportunity to create better, lower-cost market interfaces. The Web is about relationships .