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August 24, 2011

Changing the Rules

Industries are most likely to change once everyone believes that the rules are fixed and everyone has to play the game exactly the same way.  Once group-think sets in, the probability of sudden and dramatic change becomes greater.

Real estate is in that state now.  Most participants are playing it the same way – follow the standard commission structure, how services are sold, offering the same differentiators, working in an “everyone for themselves” model.  Technology is leveraged mainly as a sells tool with little thought toward open-sourcing techniques or offering free differentiation.

If too many people are comfortable with the model, it’s probably about to be turned on its head.  If you aren’t in the group looking to turn it upside down be careful it doesn’t leave you behind.

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