How to Take Down Goliath

You think it’s hard getting to the top? Try staying there. The accelerated churn rate of the S&P 500 indicates that at least half of today’s top U.S.companies will get replaced by someone new over the next decade. That is a mind-boggling market value of $13.5 trillion up for grabs. And the craziest part is who replaces the old market leaders: It’s often companies that, just a few years before, were considered scrappy little startups.

So how does a new company rise to slay a giant? It doesn’t happen by accident. Think of these upstarts as if they’re playing a deliberate game of chess—except in this case, the incumbent has been