Investor Connect Podcast

Disruptive Innovation

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

The disruptive innovation mental model describes a simple innovation starting at the bottom of a market and then moves up the curve to overcome the industry incumbents.

This mental model was first defined by Clayton Christensen in his book The Innovator's Dilemma.

Industries with expensive products are overtaken by companies operating in overlooked sectors but through innovation overtake the industry.

The personal computer is an example of disruptive innovation.

It started out as a basic machine that provided only simple solutions.  

The more expensive mini computers and mainframes were too expensive for non-business applications.

It was used for gaming when there were no business software applications available.

Over time, the personal computer grew in performance and took on business use cases.

It was lower cost and more available to the average person and small business. 

Disruptive innovations make products more affordable and available to a wider range of users.

Consider using disruptive innovation to launch your product or service.


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Direct download: Disruptive_innovation.mp3
Category:general -- posted at: 5:00am CDT