Pay close attention as Phil Fernandez of Marketo describes reinventing the company. What he's really talking about here is going from a product to a solution.
Marketo went from a tool that "helped people get more leads for their sales team" to a solution for a much broader use case.
The key quote: “We realized, hey, this is not a lead management product. This is the future of marketing. And so we went very big, and it’s what has produced a leadership spot on Gartner Group and other things. If we hadn’t done that, we would’ve defined ourselves too small, and I think that was the seminal third act, if you will, for our company."
After this clip, it should be clear why focusing on solutions is smarter.