PRUEBAS

originally developed by Venetian merchants to catch arithmetical mistakes continued to be used inevery available package of accounting software—even though computers typically do not makemistakes in addition and subtraction. Intuit was able to greatly simplify its product by eliminating thisunneeded dimension of product functionality.8. See “Eli Lilly & Co.: Innovation in Diabetes Care,” Harvard Business School, Case No. 9-696-077.This case notes that although Lilly was not able to achieve premium pricing for its Humulin insulin, itbenefited from the investment. Humulin protected Lilly against a possible shortfall in the pancreassupply, threatened by declining red meat consumption, and it gave Lilly a very valuable experience andasset base in the volume manufacturing of bioengineered drugs.9. Once such minority opinions have been raised in class, many students then begin to see thatinstitutions widely regarded as among the best-managed and most successful in the world may haveovershot what their mainstream markets demand. Intel, for example, has always measured the speed ofits microprocessors on the vertical axis of its performance graphs. It has always assumed that themarket demands ever-faster microprocessors, and evidence to the tune of billions of dollars in profithas certainly confirmed that belief. Certainly some leading-edge customers need chips that processinstructions at rates of 200, 400, and 800 MHz. But what about the mainstream market? Is it possiblethat sometime soon the speed and cost of Intel’s new microprocessors might overshoot marketdemands? And if technology oversupply is possible, how will thousands of Intel employees be able torecognize when this has occurred, accepting the change with enough conviction to completely alter thetrajectory of their development efforts? Discerning technology oversupply is difficult. Doing somethingabout it is even more so.158