strategy+business is published by PwC Strategy& Inc.
 
or, sign in with:
strategy and business
Published: May 19, 2003

 
 

Undifferentiate Your Way out of Debt

Undifferentiation does not mean a company is giving in to bankruptcy; it’s a step toward reducing the effect of perceived insolvency on existing and potential customers. Keeping a hold on that customer base reduces the chances that a financial crunch will turn into a crisis. Daring to be the same, not different, is the discipline that debt imposes on struggling companies.


Authors
Gyöngyi Lóránth, [email protected]
Gyöngyi Lóránth is a research fellow at the London Business School’s Centre for New and Emerging Markets (CNEM) and a research affiliate of the Centre for Economic Policy Research (CEPR).

Stefan Arping, [email protected]
Stefan Arping is an assistant professor of finance at the University of Amsterdam. He is coauthor, with Gyöngyi Lóránth, of a CEPR working paper titled “Corporate Leverage and Product Differentiation Strategy.”
 
 
 
 
Close
Sign up to receive s+b newsletters and get a FREE Strategy eBook

You will initially receive up to two newsletters/week. You can unsubscribe from any newsletter by using the link found in each newsletter.

Close