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The Innovator's Dilemma: The Revolutionary Book That Will Change the Way You Do Business Paperback – October 4, 2011
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From the Back Cover
In this revolutionary bestseller, innovation expert Clayton M. Christensen says outstanding companies can do everything right and still lose their market leadership—or worse, disappear altogether. And not only does he prove what he says, but he tells others how to avoid a similar fate.
Focusing on “disruptive technology,” Christensen shows why most companies miss out on new waves of innovation. Whether in electronics or retailing, a successful company with established products will get pushed aside unless managers know when to abandon traditional business practices. Using the lessons of successes and failures from leading companies, The Innovator’s Dilemma presents a set of rules for capitalizing on the phenomenon of disruptive innovation.
- When it is right not to listen to customers.
- When to invest in developing lower-performance products that promise lower margins.
- When to pursue small markets at the expense of seemingly larger and more lucrative ones.
Sharp, cogent, and provocative, The Innovator’s Dilemma is one of the most talked-about books of our time—and one no savvy manager or entrepreneur should be without.
Top Customer Reviews
(Here, the term "technology" refers to not just engineering and manufacturing, but also marketing, investment and managerial processes -- anything that transforms the inputs of production, like land, labour and people to products and services of higher value.)
(Some of the examples are partly my own conclusions.)
- Why is it so hard to *sustain* success?
- Is success so unpredictable as it sounds?
- This book is not about poorly-run firms. It's about why well-run firms often lose. It addresses the first question above and partly the second.
- Innovations can be sustaining (better than the previous product on the same terms) or disruptive (worse than the previous product when judged by the traditional criteria, but better in different ways).
- Sustaining vs disruptive is different from incremental vs radical. The latter comparison is about the degree of change; the former about the dimensions on which the judgment is made. For example, moving from a 1 GB to a 2 GB hard disc would be an incremental change, and moving to a 1 TB hard disc would be a radical change (1000x capacity), but both are sustaining changes, since the things that matter are the same (capacity, cost per GB, etc). Whereas moving to an SSD is a disruptive change, since it performs worse than a hard disc on the traditional criteria (capacity, cost per GB, number of write cycles) but is better in terms of new criteria (speed, size, power consumption, withstands shocks, etc). So, forget about incremental vs. radical: it doesn't matter here.Read more ›
The dilemma examined is, while it is important for companies to give their customers what they want to be successful in the present, they need to know when to begin to move their resources into technologies or services t hat represent the moneymakers and markets of tomorrow. Though concentrating mainly on the disk drive industry, the author also looks at the retailing industry, pharmaceutical industry, and automobile industry including the development of the electric car, among others. Examples of disruptive technologies include the evolution of disk drives from 14 inch to 8 inch to 5.25 inch to 3.5 inch to 1.8 inch, the introduction of off-road motorcycles to North America. The replacement of transistors by vacuum tubes, and the creation of discount retailers such as K-Mart.Read more ›
1. If you want to do something 'disruptive', spin off another company or a somewhat isolated department.
2. Since it is innovative and therefore untested, be aware that you cannot project customer reaction in advance [no-brainer]. Refine the product by observing how your customers are using your product [another no-brainer].
3. An organization's capability to go ahead with something innovative is to consider its 'RPV': resources, processes and values.
Despite the examples, the book comes across as a lot of theory. And it really does not have tangible or practical solutions that one can start applying right away. We all know dilemmas; we want solutions.
This is without a doubt one of the best business books I have ever read.
Most Recent Customer Reviews
Amazing book for anyone struggling with the inventive side of entrepreneurship or any other form of venture. Still haven't read the entire thing but so far so good.Published 1 month ago by Linden Brooks
The book itself is literally terrific. But unfortunately there are some scratches and bruises on it when it was delivered.Published 1 month ago by EO
I thought the experiences Clayton went through provided a good view of business and how you corporations get stuck. Great learnings.Published 2 months ago by Rich C.
Frankly a little disappointing and a bit hard connecting to the new economy.Published 3 months ago by Amazon Customer
I would not say this is a revolutionary concept - it is a revolutionary to bring back concepts that people somehow have let slip away. Read morePublished 3 months ago by Erin Leigh Darnley