Definition: Natural selection is the process where organisms with the ability to adapt to changes in environmental conditions survive over less-adaptable organisms. Natural processes eliminate these under-developed organisms because of their impossibility to adapt.
What Does Natural Selection Mean in Business?
Natural selection was a biological theory proposed by Charles Darwin in 1859. It theorizes that evolution of species (including mankind) is the result of ongoing processes of adaption to different environmental conditions that happened over time. Their ability to adapt ensured their survival to these changes and the inability of other species to do so lead them to extinction, which, according to this theory, is the reason why some species no longer exist.
This theory is also called the survival of the fittest, since the fittest creatures are those that endure the challenges of nature. In business, natural selection is also a reality. Companies that possess the ability to adapt to changes in the economic environment are those that stay alive over time.
Customers are regularly changing their habits and tastes and the way companies react and transform to meet those needs is their way to “evolve” to deal with this new set ups.
Example
Dog Treats Co. is a company that produces pet food for the retail market. The company has been in this business for more than 15 years and they are proud to be the third biggest company among pet food manufacturers in the United States.
Currently, there’s a new trend called cook-for-them, which is basically a shift in customer’s habits, since now pet owners are making food for their pets at home with vegetables and meat they buy in their regular super market. The trend originated because of customer’s concern about the use of toxic chemical ingredients in industrial-made pet food. Dog Treats is facing a difficult situation since their sales have been decreasing because of this new trend and they must react properly to stay alive.
The company must adapt to this new situation or natural selection will deal with them quickly. To address this new trend, the company developed a new certification called chemical-free. It is a logo that goes in all of their products that ensures the buyer that no toxic chemicals were used to manufacture the food.
This quality seal was issued by the National Society of Pet Trainers, a prestigious association of pet training professionals. This “evolution” ensured they remain in business even with this adverse trend going on.
