Paradigm Shift and Destructive Innovation
There is a paradigm shift as one of the changes of the times. Even top companies lose the power as a company even before that destructive innovation causing that paradigm shift There are many things that you will end up with. This time I will explain that. First of all it is a paradigm shift as a change of the times.
In manufacturing, values are perceived by the public and values change. In most cases, it will replace the traditional ones.
As cassette tapes of the record era, CDs of the cassette tape era and MP3 of the CD era, etc. are recognized by the masses and the conventional things are replaced like the flow of the times. Because it changes drastically, revenue will be drastically reduced by destructive innovation (cheap, small, easy to use) that causes a paradigm shift, such as companies that used traditional ones as products.
Paradigm shift is dramatically changing recognition / values .
If the paradigm shift is responded immediately, will corporate earnings never decrease sharply? I will think. However, because it is the top company that produces and sells conventional products on a large scale, there are many cases that we are lagging behind new products (products that can be destructive innovation) of emerging companies.
The reason why top companies can not respond immediately is as follows.
· The destructive innovation at the beginning of the paradigm shift is hard to understand
· Small emerging business · technology is not appealing in front of large-scale existing business of top companies
· Danger of destroying existing business by doing emerging business
We will pursue only the improvement of conventional products in order to take advantage of its superior existing business by its features, making it impossible to see demand by customers. Therefore, it seems that there is a tendency to make a devastating innovation and it tends to get late before the start-up company.
Together with the times, powerful companies will change more and more. Many of them are due to destructive innovation causing the paradigm shift explained earlier. However, although the number is small, it is also true that there are some companies that are top-ranked. A company that is coming at the top for that long term
Companies that are top-ranked companies have a paradigm shift in their products, companies that have the power to overcome the dilemma of innovation
It can be said that it is.
If you read the following article together, understanding will deepen.
Theory of paradigm shift generation: innovator theory and casm theory