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Season 2, Episode 1: Zappos (with Alfred Lin)
Acquired
Decentralized Organizations Are More Innovative
Decentralized organizations foster innovation by enabling independent decision-making and freedom from centralization. Amazon's approach of keeping acquired companies independent and Zappos' early model of remaining fully independent were considered novel at the time. While it may make sense to integrate acquisitions in some cases, maintaining independence can lead to more innovation. Decentralized ecosystems empower entrepreneurs, allowing for quicker and more diverse innovations compared to centralized organizations, which often struggle to innovate due to centralized decision-making.
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