KD's Mind Map

Last night in Strategic HR, we discussed the Parable of the Boiled Frog. The story states that if you put a frog into a pot of boiling water, it will leap out right away to escape the danger.

BUT, if you put a frog in a pot that is filled with water that is cool and and then gradually increase the heat until it starts boiling, the frog will not become aware of the threat until it is too late. The frog's survival instincts are geared towards detecting sudden changes.

When I heard this story, I immediately thought about American Online (AOL). In its day, AOL cornered the marketplace by offering Worldwide access to the Internet at a low cost. In fact, demand for the product was so great that customers often had to wait several hours just to sign-up for the service - all was well with stock prices tripling in value, leading to a merger between AOL/Time Warner. Unfortunately, AOL lost sight of its opportunities and threats and competition took fill advantage, leading to the demise (for the most part) of an industry leader in technology.