Discuss the idea of a disruptive market innovation and strat

Discuss the idea of a “disruptive” market innovation and strategy and provide examples. How can you provide leadership within an organization that can lead to product or go-to-market innovation? Please provide examples. Can a disruptive strategy work within the framework of the Five Generic Competitive Strategies? Again, provide examples.

Solution

Disruptive market innovation is an innovation that results in the creation of a new market thereby disrupting the existing market and the associated networks and stakeholders. An example of disruptive innovation would be the innovation of pocket calculators. It was portable and it disrupted the market of desktop calculators which were used extensively before the advent of pocket calculators.

I will provide leadership that can  lead to product or go-to-market innovation in the following ways: (i) take ownership and initiative to drive through the company the passion for the product (ii) support and encourage both the creative mindset as well as the technical mindset (iii) inculcate a consumer focused culture. For example in Apple, Steve Jobs\' leadership had an infectious passion for the products that he believed in and he took ownership and initiative in the development of products like the i-pod which was a disruptuve market innovation.

The disruptive strategy can work mostly if the \"differentiation\" competitive advantage is being pursued in the five generic competitive strategies. If the focus is on low cost than it will be ususally at the expense of innovation. For example the i-pod was made by pursuing a differentiation competitive advantage and hence it disrupted the market. Steve Jobs did\'nt develop this product while following a \"low cost\" competitive advantage.