Business Strategies and Disruptive Technologies

2018 ◽  
pp. 1-30
Author(s):  
Sucet Jimena Martínez-Vergara ◽  
Jaume Valls-Pasola
Keyword(s):  
Competitive Advantage ◽  
Business Models ◽  
Disruptive Innovation ◽  
Business Strategies ◽  
Historical Overview ◽  
Disruptive Technologies ◽  
Disruptive Innovation Theory ◽  
Disruptive Innovations ◽  
Recent Developments ◽  
Key Issues

This chapter presents key issues taken from the review of existing literature on disruptive technologies and their importance for successful business strategies. The review is done within the framework of the disruptive innovation theory. The chapter covers an historical overview of the topic from the precursors to the most recent developments as well as an analysis of its predictive side. It also finds out whether the theory allows for the development of business models. Last section is devoted to the identification of strategies that are applicable in technological disruptive innovations and discusses relevant issues to develop such strategies. Disruptive innovations are widely recognized as key engines for competitive advantage, so it is important for companies to recognize the opportunities that emerge from developing disruptive technological innovations.

Business Strategies and Disruptive Technologies

2020 ◽  
pp. 1-23
Author(s):  
Sucet Jimena Martínez-Vergara ◽  
Jaume Valls-Pasola
Keyword(s):  
Competitive Advantage ◽  
Business Models ◽  
Disruptive Innovation ◽  
Business Strategies ◽  
Historical Overview ◽  
Disruptive Technologies ◽  
Disruptive Innovation Theory ◽  
Disruptive Innovations ◽  
Recent Developments ◽  
Key Issues

This chapter presents key issues taken from the review of existing literature on disruptive technologies and their importance for successful business strategies. The review is done within the framework of the disruptive innovation theory. The chapter covers an historical overview of the topic from the precursors to the most recent developments as well as an analysis of its predictive side. It also finds out whether the theory allows for the development of business models. Last section is devoted to the identification of strategies that are applicable in technological disruptive innovations and discusses relevant issues to develop such strategies. Disruptive innovations are widely recognized as key engines for competitive advantage, so it is important for companies to recognize the opportunities that emerge from developing disruptive technological innovations.

scholarly journals Clarifying the disruptive innovation puzzle: a critical review

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sucet Jimena Martínez-Vergara ◽  
Jaume Valls-Pasola
Keyword(s):  
Critical Review ◽  
Business Models ◽  
Disruptive Innovation ◽  
Complex Nature ◽  
Content Type ◽  
Disruptive Innovation Theory ◽  
Depth Analysis ◽  
New Business ◽  
Key Issues ◽  
New Business Models

PurposeDisruptive innovation theory has attracted the interest of researchers and practitioners across many areas, resulting in the development of new business models and strategies. Despite the increasing scholarly attention, its definition has not yet been understood, the understanding of the term “disruptive” and the complex nature of this innovation has provoked some misinterpretations, and the meaning remains ambiguous. To address this confusion, this article undertakes a critical review of disruptive innovation in an attempt at providing a solid theoretical grounding.Design/methodology/approachThe review examines the key issues of published articles, identified after conducting a search in the Web of Science scholarly database. The analysis highlights the basic definitions of disruptive innovation, showing its evolution, types and its characteristics. This article also examines the behaviours adopted by the actors associated with disruptive innovation (i.e. incumbents, entrants and customers).FindingsOverall, this article finds that disruptive innovation has its own elements to be identified, requiring an in-depth analysis to avoid confusing with other innovation approaches. The findings suggest that disruptive innovation affects businesses and sectors in varied and complex ways because customers from low-end market and mainstream market appreciate this innovation. Further, its impact on practice is huge and incites further efforts in establishing a stronger theoretical grounding.Originality/valueOur research contributes on the evolution of this theory, helping to better understand the phenomenon of disruption and can be used for different types of research settings.

Expanding Peer-to-Peer Digital Intermediation Through a Mobile-Based Platform

2021 ◽  
pp. 549-569
Author(s):  
Mohammad Nabil Almunawar ◽  
Muhammad Anshari
Keyword(s):  
Transaction Cost ◽  
Business Models ◽  
Disruptive Innovation ◽  
Peer To Peer ◽  
Value Network ◽  
Disruptive Technologies ◽  
Intense Competition ◽  
Start Up ◽  
The Right ◽  
Short Time

The fusion of several technologies has created disruptive innovation that changes the way in which people interact and transact. The rise of new and innovative business models such as mobile-based platforms in the transport industry has posed a big challenge to the incumbent in a very short time. The fusion allows start-up companies that employ the right strategies expanding their business rapidly by taking over the existing markets as well as creating new markets for them to expand in various directions. In this chapter, the authors discuss three theories to examine business expansion strategies in digital intermediation platforms: transaction cost economy, two-sided market, and value network and. Using these theories, they analyze how Gojek, an Indonesian mobile-based platform, rises and expands rapidly in a very short time. They argue that due to high intense competition, businesses that adopt disruptive technologies through mobile-based platforms by introducing products or services within the same platform are likely to be more sustainable in preserving the market.

scholarly journals The Dominant Design of Disruptive Innovations in the 3rd-Party Online Payment in China

2021 ◽  
Vol 2021 ◽  
pp. 1-13
Author(s):  
Lu Lu ◽  
Yang Zhou ◽  
Chenxiao Wang ◽  
Qingpu Zhang
Keyword(s):  
Business Models ◽  
Driving Forces ◽  
New Product ◽  
Disruptive Innovation ◽  
Subsequent Performance ◽  
Performance Improvements ◽  
Online Payment ◽  
Disruptive Innovations ◽  
Dominant Design ◽  
New Business

As a disruptive innovation on the traditional payment mode, the 3rd-party online payment has been involved in disruptive innovations featuring contextualized and modernized characteristics, but a theoretical summary is urgently needed for the dominant design of these disruptive innovations. Therefore, an in-depth case study is done with Alipay and PayPal as the subject, and it comes to elaborate four key aspects involved in the dominant design of disruptive innovations of the 3rd-party online payment. Namely, adopt new innovative derivations, create new product attributes, construct new business models, and process subsequent performance improvements. In addition, the factors that differ from the traditional disruptive innovations are also spotted, including two innovative driving forces, two new product features, and four business modes.

scholarly journals Disruptive Intelligence - How to gather Information to deal with disruptive innovations

2015 ◽  
Vol 4 (3) ◽  
Author(s):  
Dirk Vriens ◽  
Klaus Solberg Søilen
Keyword(s):  
Disruptive Innovation ◽  
Innovation Theory ◽  
Disruptive Innovation Theory ◽  
Disruptive Innovations

Disruptive innovations are innovations that have the capacity to transform a whole business into one with products that are more accessible and affordable (cf. Christensen et al. 2009). As Christensen et al. argue no business is immune to such disruptive innovations. If these authors are right, it might be relevant to be able to recognize these innovations before they disrupt a business. Incumbents may use this information to protect their business and others may use it to participate in the disruption. Either way, gathering information about potential disruptive innovations is a relevant activity. The production of this information (we call this information “disruptive Intelligence”) is the topic of this paper. In particular, we analyze disruptive innovation theory and formulate several intelligence topics which may help in predicting disruptive innovations. In addition, we formulate several ‘biases’ which may impair the production of ‘disruptive intelligence’.

Corporations In The Clouds?

2019 ◽  
pp. 514-536
Author(s):  
Danielle Logue
Keyword(s):  
Business Model ◽  
Open Innovation ◽  
Academic Research ◽  
Modern Society ◽  
Disruptive Innovation ◽  
Business Model Innovation ◽  
Historical Changes ◽  
Corporate Form ◽  
Disruptive Innovations ◽  
Recent Developments

This chapter considers the historical changes that have occurred in the way corporations engage in innovation, conceptualizations of disruptive innovation, and the consequences of recent developments in technology, models and movements for the corporate form (particularly boundaries), practices, and leadership. It discusses how the notion of disruption innovation has developed, and summarizes the main innovation dichotomies that have emerged from years of academic research on how corporations innovate. It then focuses on the implications of open innovation and business model innovation for the corporation, and details current responses of corporations to disruptive innovation. The chapter concludes with a consideration of how disruptive innovations are impacting the role and significance of the corporation in modern society.

scholarly journals Understanding disruptive technology transitions in the global logistics industry: the role of ecosystems

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jasmin Mikl ◽  
David M. Herold ◽  
Kamila Pilch ◽  
Marek Ćwiklicki ◽  
Sebastian Kummer
Keyword(s):  
Business Models ◽  
Disruptive Innovation ◽  
Disruptive Technology ◽  
Innovation Theory ◽  
Logistics Industry ◽  
Content Type ◽  
Disruptive Innovation Theory ◽  
Global Logistics ◽  
Technology Substitution

Purpose Disruptive technologies in the global logistics industry are often regarded as a threat to the existing business models of incumbents’ companies. Existing research, however, focuses mainly on whether technologies have disruptive potential, thereby neglecting when such disruptive transitions occur. To understand the timing of potential disruptive technological change, this paper aims to investigate the elements of the underlying ecosystem shaping these transitions. Design/methodology/approach Building on the established ecosystem framework from Adner and Kapoor (2016a), this paper constructs four categories of technology substitution to assess how quickly disruptive change may occur in the global logistics industry and defines key technology substitution determinants in logistics to emphasize the role of ecosystems for further consideration into disruptive innovation theory. Findings Based on the key determinants, this paper proposes first definitions of distinctive ecosystems elements linked to the three types of innovations, namely, sustaining innovations, low-end disruptions and new-market disruptions, thereby integrating ecosystems into Christensen’s (1997) disruptive innovation theory. Originality/value By developing a framework that conceptualizes the pace of technology substitution, this paper contributes to a more nuanced understanding of how logistics managers and academics can better predict disruptive transitions and develop strategies to allocate resources.

scholarly journals Mechanism of profit management at the enterprises in financial globalization conditions

2018 ◽  
pp. 74-82
Author(s):  
Svetlana Khalatur ◽  
Irina Plisko
Keyword(s):  
Competitive Advantage ◽  
Business Model ◽  
National Economy ◽  
Business Strategy ◽  
Business Models ◽  
Point Of View ◽  
Business Strategies ◽  
Financial Globalization ◽  
Value Propositions ◽  
Scientific Practical

Subject of research – conceptual, theoretical-methodological and scientific-practical principles of profit management at enterprises. Aim of research is to investigate and describe the mechanism, factors, reserves and ways to increase the profitability of enterprises of the national economy of Ukraine in the conditions of financial globalization. Methods of research.  The article uses a set of methods of scientific research: statistical, historical, normative, analytical. From the methodological point of view, we note that this analysis refers to the period 2010-2017 years. Results of research. Having studied the ways to increase the profitability of enterprises in the market conditions, we can conclude that due to the lack of an effective business model for increasing the company's profitability in most of the enterprises of the national economy of Ukraine, there is a risk of shortfall in profits or even losses. It is argued that enterprises need to form an optimal business model for increasing profitability before performing financial and corporate activities in order to achieve the desired results. The problem is that many businesses use the concept of a business model and business strategy as interchangeable, which is not correct. Application of results.  The results of this study can be applied in the practice of financial and economic activity of enterprises of the national economy of Ukraine. Conclusions. In order for the company to grow and profit, it is very important that it has a reliable business model as well as a competitive strategy on how to differ from competitors. It is important to combine business model analysis with strategic analysis when an enterprise develops and implements a new business model to protect the results of a transformed business model from the point of view of competitive advantage. This link involves segmentation of the market, creating value propositions for each segment, and developing a variety of "isolation mechanisms" that will help avoid simulating business models / business strategies by competitors. In order to create and maintain a competitive advantage, and thus increase the profitability of the enterprise, differentiated and difficult to immitate, at the same time effective design for the business model of the enterprise is very important.

scholarly journals Business Model as an Inducer of Disruptive Innovations: The Case of Gol Airlines

2015 ◽  
Vol 3 (2) ◽  
pp. 28-42 ◽  
Author(s):  
Sirlei de Almeida Pereira ◽  
Fabricio Garcia Imbrizi ◽  
Alessandra Demite Goncalves De Freitas ◽  
Marcelo Aparecido Alvarenga
Keyword(s):  
Literature Review ◽  
Business Model ◽  
Business Models ◽  
Disruptive Innovation ◽  
Business Model Innovation ◽  
Disruptive Innovations ◽  
Innovation Processes

This study was undertaken to investigate the premises that the success of disruptive innovation is related to the business model adopted by organizations. An analysis of five business models from the literature review - Bovet and Martha (2000), Applegate (2001), Chesbrough and Rosenbloom (2002), Osterwalder and Pigneur (2010), and Rodrigues, Maccari and Lenzi (2012) – was conducted based on the case of the Brazilian Gol Airlines who is recognized as a success business that promoted a disruptive innovation. The results suggest that the assertive choice of the business model can leverage innovation processes, and two of the models listed are adherence to the case studied. Keywords: Disruptive Innovation; Business Model; Innovation Elements; Strategy; Gol Airlines.

scholarly journals Business Model in Air Transport: Evolution of Innovation Concept

2017 ◽  
Vol 13 (31) ◽  
pp. 455
Author(s):  
Pierluigi Passaro
Keyword(s):  
Competitive Advantage ◽  
Business Model ◽  
Business Models ◽  
Knowledge Society ◽  
Disruptive Innovation ◽  
Incremental Innovation ◽  
Transport Sector ◽  
Industrial Sectors ◽  
Close Relationship ◽  
Innovation And Invention

With the advent of the knowledge society, new opportunities, business models and concepts have emerged in most industrial sectors and in particular in the transport sector. The European air travel market, dominated by airlines, influenced to varying degrees from their countries of origin, has been, since the early nineties, completely revolutionized by the entrance in the competitive arena of several small companies, which, in accordance with the principles of „disruptive innovation‟, have completely changed the field of passenger transport. To understand how this was possible, it is necessary to investigate, just with the help of these new tools of Strategic Management as the business models, about the way in which these airlines are able to generate their business and create value. This work aims to analyse the close relationship between innovation of product / service and corporate business model in order to understand the dynamics of the relationship. Various contributions from literature showed how the concept of innovation within the company has evolved over the years and what were the approaches used to study it. This analysis begins with the study of the contributions of Schumpeter, the first economist to write about innovation and author of the dynamic development model and creator of the first distinction between innovation and invention. His theories have made a major contribution in this area, but none the less were also constructively criticized by other economists such as Freeman, who introduced the concept of incremental innovation and analysed the factors triggering innovation. Albernathy and Clark then added another fundamental element of analysis: the competitive environment. They studied the influence of innovation on those factors that are considered essential to achieve a competitive advantage. The same Albernathy, with Utterback, then studied the dynamics of innovations over time. Each of the cited authors analysed the phenomenon of innovation in a different light and all of their contributions allows for a broad and comprehensive concept. The picture is completed by adding the recent contributions of Christensen, who has taken up and deepened the concepts of "sustaining innovation" and " disruptive innovation" and, especially, began to highlight how essential it is that innovation is supported by a suitable business model. In this regard, he has shown that even the same business model can be object of innovation and that this type of innovation is one of the main drivers of the creation of competitive advantage.

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