The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail (Management of Innovation and Change Series)
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The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail (Management of Innovation and Change Series)
Taking the radical position that great companies can fail precisely because they excel at the commonly accepted practices of good management, this work demonstrates why outstanding companies like Xerox, IBM, Sears and DEC had their competitive antennae up, listened to customers, and invested aggressively in new technologies, and still lost their positions of market dominance. And it shows companies today how they can avoid a similar fate.
What do the Honda Supercub, Intel's 8088 processor, and hydraulic excavators have in common? They are all examples of disruptive technologies that helped to redefine the competitive landscape of their respective markets. These products did not come about as the result of successful companies carrying out sound business practices in established markets. In The Innovator's Dilemma, author Clayton M. Christensen shows how these and other products cut into the low end of the marketplace and eventually evolved to displace high-end competitors and their reigning technologies.
At the heart of The Innovator's Dilemma is how a successful company with established products keeps from being pushed aside by newer, cheaper products that will, over time, get better and become a serious threat. Christensen writes that even the best-managed companies, in spite of their attention to customers and continual investment in new technology, are susceptible to failure no matter what the industry, be it hard drives or consumer retailing. Succinct and clearly written, The Innovator's Dilemma is an important book that belongs on every manager's bookshelf. Highly recommended. --Harry C. Edwards
Customer Reviews:
Avg. Customer Rating: 4.5 / 5.0
Grow or Die:
The great irony here is the astonishing failure rate of apparently successful incumbents. These so-called great companies do an excellent job responding to their customers' needs. They invest heavily in new technology. They employ the smartest executives. And yet they still get wiped out by upstarts. That the Innovator's Dilemma is a business book is purely incidental. While the business-related insights in the book are extraordinary, they don't account for its real value. This book is... more info
Why Big Companies Miss Opportunities:
This book starts by looking at why leading, well-run companies miss the boat when it comes to certain types of key innovations. The author shares 5 principles that are largely responsible- 1. Companies depend on customers and investors for resources
2. Small markets don't solve growth needs of large companies
3. Markets that don't exist can't be analyzed
4. An organization's capabilities define its disabilities
5. Technology supply may not equal market demand Each of these... more info
every product manager must read this:
OK, I admit, some of it can be a bit boring, especially the first couple of chapters. But the premise and his argument are great. A product manager who has not read this book is not a product manager at all!
unconvincing:
This book analyzes why established successful companies repeatedly miss "less sensible" (to their own value network) innovations in the low-end "emerging" market and how products in the low end market eventually displace existing products in the entire market. The book does a comprehensive analysis of the phenomena. However, I am not convinced with the analysis. People make wrong forecasts of trends and miss emerging markets for many reasons. New entrants fail in trial and error with this extremely... more info
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