Complicate to profit

Complicate to profit is a unsustainable business model adopted by many professional service firms and technology integrator.

The plan is the following: take an unsuspecting client and make them believe that their simple problem requires a complicated solution, then ensure that the client is unable to manage the solution on its own and keep collecting fees.

Complicate to profit is a philosophy that takes advantage of perceived information asymmetry in “best practices” or “technological solutions” between industry clients and professional service firms.

In reality such practices are carefully selected to solve the client problem while maximizing the potential future business of the professional service firms.

Often their own clients are not even aware of how the solution works and would be better off with a simple solutions that they understand and can implement by themselves for a lower cost.

To avoid being bamboozled take a line from the movie the Big Short and ask “How are you going to fuck us?”