Product Strategy Concept - Complementary Assets
Concept Summarized by Sam Mishra, MBA (MIT Sloan)

In the context of business / product strategy, complementary assets are required to productize / commercialize new products / product enhancements. Complementary assets include distribution channels, sales and marketing expertise, cost-effective on-shore / off-shore development / manufacturing facilities, and on-shore / off-shore customer support centers. Product strategy frequently requires outsourcing contractual relationships between the product manufacturing company and a separate firm which owns most of the complementary assets needed to distribute / sell / support the product.

For a good discussion on the role played by complementary assets in commercializing product innovations, please refer to the 1986 article titled "Profiting from technological innovation: Implications for integration, collaboration, licensing, and public policy" by David J. Teece.

Also see  Tight Appropriability, and Dominant Designs.




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