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One of the most influential books of my career is The Innovator’s Dilemma by Clay Christensen. Many people bandy about the definitions of “disruptive technology&# or “the innovator’s dilemma&# without ever having read the book and almost universally misunderstand the concepts.
Try to imagine if you *didn’t* already know Amazon and the company walking into VC meetings telling people they were going to disrupt the selling of all goods starting with books but then extending into electronics, apparel, toys and so forth. The value prop is pretty clear. And here’s the thing.
For years, the prevailing narrative for innovation in supply chain has focused on the disruptors: Upstarts that enter the industry with new technologies and business models to displace incumbents. But in verticals ranging from freight brokerage to B2B marketplaces, these enablers have repeatedly emerged after an initial disruption.
The formation of Hulu was defensive – designed to stop another YouTube or Napster from emerging and causing disruption to the TV industry. I have made many of my arguments in a blog post I wrote on The Innovator’s Dilemma , a concept that is critical for both innovators & incumbents to understand.
If you read Reid Hoffman’s important book, “ Blitzscaling ” you’ll realize that in some markets that are large, global and being disruptive sometimes being first to global scale can be more important than short-term unit economics. Last year I pointed out that software would help build competitive moats and we’re already seeing that.
Many entrepreneurs in Silicon Valley believe that the financial services industry in the United States is “ripe for disruption. ” First, they believe that the current offerings from the financial incumbents are lacking. Once you have the assets, all the disruptive things that Silicon Valley types want to do will be easy.
At GLC, he will address the rapid pace of change, innovation and disruption facing us all?and In partnership with Forbes, Brody produced a documentary series and is writing The Great Re:Write , a book based on it. Master digital disruption with digital reinvention. What technologies are disrupting us, and which should we adopt?
For new entrants looking to take advantage of the advent of LLMs and disrupt the status quo by going upstream of these incumbents, we’ve done a deep dive into Bloomberg, Morningstar, and Verisk’s stories. In doing so, each built the beginnings of what are now category-defining businesses.
Yet, technology adoption within the real estate community as a means to fundamentally disrupt how physical assets behave and how transactions occur was lagging up until the last couple of years. it characterizes the space in which we live, the environment in which we work, and the places where we socialize.
Fintech startups are convinced that banks have lobbied the RBI to reach this decision, employing the age-old tactic where incumbents cry foul and rely on the regulator to rescue the day. India’s credit bureau data book is thin, making most individuals in the South Asian market unworthy of credit. ” the founder added.
“Investors are putting a premium on growth in the context of profitability, and we’re growing exceptionally fast because we’re able to profitably serve customers who aren’t being well served by incumbents,” said Sean Harper, CEO of Kin.
Using the platform, facilities can post shifts they need to fill and healthcare workers can book these shifts, managing their schedules via Clipboard’s mobile app. Currently serving workers in more than 30 U.S. And you have patients who are slipping through the cracks, because they can’t get the care they need.”
How An Algorithm Transformed The Music Industry And Created The Mobile & Social Web As the music industry recently announced its first annual revenue growth after 15 years of uninterrupted contraction, I thought it was a good time to share some of the things I learnt from reading Stephen Witt’s book How Music Got Free.
But as GDP in emerging markets rises, so do the expectations of consumers for higher-quality products, making busing, the lifeblood of countries like Mexico, the perfect industry to disrupt. “The new bus passenger is millennials and centennials who want a better service than the incumbents can provide.
Ones that offer amazing value (low relative margins) at high volumes that makes it nearly impossible for high-cost incumbents to compete. How does the incumbent respond? That is what Clay Christenson defined in his book as “The Innovator’s Dilemma.”. How do existing incumbents compete with that? It’s remarkable.
Even with $125K from YC and $1–2M in venture funding, a startup’s credit limit is still likely to tap out at $20K from an incumbent creditor—which is not nearly enough to cover software, marketing, and other expenses. incumbent offerings which only offered end-of-month reconciliation). The incumbent system involves three key “stacks.”
So when Sam Rosen came to me with the idea of disrupting storage with a product that is priced cheaper than existing incumbents and he could build a product that is a better service I was intrigued. How much money will airlines companies, hotel companies or event companies pay me as a referral or for booking?
“Nyshex was formed because [we] experienced firsthand the challenges associated with keeping track of contractual commitments, and [we] realized the incumbents could not solve these challenges.” Nyshex can also match freight bookings and physical container movements.
Innovator’s Dilemma – In his seminal book, “The Innovator’s Dilemma,&# Clay Christensen talks about why industry leaders almost always fail to act when “disruptive change&# enters their business. Incumbents can’t react. If you haven’t read his book please do yourself a favor and buy it.
In a few days, Thiel and Masters will release a book version of these notes called Zero to One: Notes on Startups or How to Build the Future. I was given a copy at TechCrunch Disrupt. These are my three favorite ideas from the book. Idea 2: Disruption is the wrong mind-set. But, competition increases costs.
This is a huge business, typified by incumbent behemoths like Lloyd’s of London, who in theory mitigate the risk insurance companies face when they get the formula wrong. “As a homeowner, if my home burns down I’ll get its value back. That can be a truly life changing thing.”
Jill LePore’s New Yorker polemic “ The Disruption Machine ” attempts to debunk the incredibly popular Innovator’s Dilemma, a theory written by HBS professor Clayton Christensen. ” In his book Antifragile, Taleb expands this theory to all of human development. The Lindy Effect works until it doesn’t.
And on the distant horizon, TechCrunch Disrupt will return to San Francisco on October 18. Some affected founders are pushing the narrative that incumbent banks lobbied the RBI to reach a decision favorable to them. In other news, TechCrunch’s Summer Party yesterday was a major success — thanks to all who turned up!
Disrupt is turning 12 years old. And in the name of coming back bigger and better than ever, the Disrupt Startup Battlefield has grown by 10x. This year, we’re curating 200 companies for you to check out and meet for the first time in the Expo Hall, with the top 20 gracing the Disrupt stage to launch their wares.
It does a search across, you know, basically all of these words and sentences and diagrams and books and photos and everything that human beings have created. His best, most well-known book is called “The Managerial Revolution” which talks a lot about the issues we’ve been discussing. It essentially does a search.
Our firm has had the good fortune to invest in many two-sided networks that used information aggregation, supplier aggregation, and user generated content to attract and inform consumers and resultantly disrupt and change different industries. ” What’s interesting about the book is David’s an outsider.
Brian Halligan [02:14] – I basically just block all that day Wednesday so no one can book a meeting there. I think what helped a lot of introverts, I don’t know about you guys, is when that lady wrote that, what was her name, wrote that book. Craig Cannon [03:56] – I felt that after that book came out.
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