"Perfection irritates as well as it attracts, in fiction as in life."
Do you think it's possible for a business to be too good? Like Yogi Berra's insight: "There's a restaurant in NYC that's so crowded, no one goes there any more." You bet it's possible. While you're busy making whatever it is better and better, someone else may be busy making it different. And that difference may be what draws your audience away.
There are many examples, from Motorola (Mr. Six Sigma) not paying attention to Nokia's cool designs, to Kodak perfecting the analog camera and the distribution of film while the market moved to digital, to terrestrial radio's hubris in the face of Satellite Radio, iPods, and others. So stay passionate about the changing nature of your customers and your marketplace. Remember . . . today's peacock becomes tomorrow's feather duster.