This fits well with the framework suggested by The Innovator's Solution:
1. In any product ecosystem, there are parts where the functionality is already good enough for the market which people aren't willing to pay more for. There are also parts where people are willing to pay more for better functionality. One example is hard drive storage: in general, few consumers today will pay to go from a 512gb hard drive to a larger one, but many are willing to pay for a faster hard drive, such as a solid state drive.
2. As a business you want to build the parts where people will pay for better functionality, while outsourcing the parts where functionality is already good enough.
1. In any product ecosystem, there are parts where the functionality is already good enough for the market which people aren't willing to pay more for. There are also parts where people are willing to pay more for better functionality. One example is hard drive storage: in general, few consumers today will pay to go from a 512gb hard drive to a larger one, but many are willing to pay for a faster hard drive, such as a solid state drive.
2. As a business you want to build the parts where people will pay for better functionality, while outsourcing the parts where functionality is already good enough.