The Hedgehog Concept is based on an ancient Greek parable that states, “The fox knows many things, but the hedgehog knows one big thing – to defend itself from the fox.” The insight highlights how to extend the Hedgehog Concept to business.
Hedgehogs, simplify the world and focus on a single, overarching vision, which they then achieve.
Jim Collins in his book Good To Great extends this concept to the world of business.According to him the iconic companies who have survived the test of time have applied the Hedgehog concept whereas their more fancy competitors have been like foxes and have not quite been able to survive the test of time.
The following three concepts are core to the Hedgehog circle , which are religiously followed by these iconic companies:
- What are you DEEPLY PASSIONATE about?
- What drives your ECONOMIC ENGINE?
- What you CAN BE THE BEST in the WORLD at?
Practicing the concepts in this circle helps these companies focus on their strengths without being bothered by competition.