Harvard Business Review

JULY 28, 2014

We explored these and other questions with pricing strategy author and consultant Rafi Mohammed. First off: From a pricing perspective, is Haystack a good idea? Haystack provides a solution to a key market failure in popular parking areas: meter prices are too cheap, which results in excess demand. Absolutely!

Price 8

Price Transportation Disruptive Innovation Bottom-up 8

Harvard Business Review

MARCH 28, 2016

Since the start of 2016, oil prices have swung between $27 and $42 per barrel, about a quarter of the 2008 peak crude oil price of $145. On February 16, oil ministers from Saudi Arabia, Russia, Qatar, and Venezuela agreed to a tentative deal to freeze their production in an attempt to boost prices.

Price 8

Price Energy Airlines Supply Chain 8

Harvard Business Review

SEPTEMBER 11, 2013

In creating a minimum viable product , entrepreneurs choose between experiments that can validate or invalidate their assumptions about a business model. If your MVP is a worse product than your imagined final version, success validates your idea; failure, on the other hand, doesn''t necessarily invalidate it. The Two Kinds of MVP.

Productivity 8

Productivity Products Early Adopters Business Model 8

Harvard Business Review

SEPTEMBER 24, 2013

The “jobs-to-be-done” theory articulates the gap between how producers view and market a product and how customers actually use it. Every time a customer buys a product, they are trying to do a job that brings some value to them – and not necessarily what the product says on the label. Xiaomi’s Challenge.

Marketing 8

Marketing B2B Levitt Disruptive Innovation 8

Harvard Business Review

OCTOBER 14, 2014

Customers that are relatively less risky and more predictable can make it easier for new to firms gain a market foothold. Some point to Xiaomi’s product introductions, which are eerily just like Apple’s. What’s more, Xiaomi’s products rank among the best in the industry in terms of performance. A neat trick.

Industry 15

Industry Price Business Model Disruptive Innovation 15

Harvard Business Review

SEPTEMBER 11, 2013

In creating a minimum viable product , entrepreneurs choose between experiments that can validate or invalidate their assumptions about a business model. If your MVP is a worse product than your imagined final version, success validates your idea; failure, on the other hand, doesn’t necessarily invalidate it.

Productivity 8

Productivity Products Early Adopters Business Model 8

Harvard Business Review

JULY 29, 2014

In traditional product companies, creating value meant identifying enduring customer needs and manufacturing well-engineered solutions. And when feature innovation eventually proved to be too incremental, price competition would ensue, and products would become obsolete.

Business Model 14

Business Model Venture Capitalist Disruptive Innovation Porter 14

Harvard Business Review

AUGUST 16, 2017

billion to escape what Musk calls the “manufacturing hell” the company is now experiencing in its transition from small batch car making to mass production. Tesla clearly doesn’t qualify under the traditional definition of a disruptive innovation.

Supply Chain 11

Supply Chain Automotive Disruptive Innovation Transportation 11

Harvard Business Review

MARCH 8, 2012

Thanks to disruptive innovations , much of our world today looks radically different than it did just a decade or two ago. In industry after industry, disruptions deliver more for less and change everything from how we communicate with one another to how we work and shop. Remember flying in the old days?

Disruptive Innovation 13

Disruptive Innovation Health Care Innovation Business Model 13

Harvard Business Review

JULY 4, 2014

Today, almost every industry is vulnerable to the effects of digitization and to what Accenture calls “Big Bang Disruption.” New services can quickly go from trial to large-scale rollout and massive adoption, and established players can fall quickly by the wayside; think of how mobile GPS applications have taken the market by storm.

Insurance 15

Insurance Disruptive Innovation Industry Innovation 15

Harvard Business Review

JUNE 6, 2014

Customers are complaining all the time that no company’s product or service is good enough at this.”. It turns out that disruptive innovation researchers have empirically measured the odds of success in each of these situations, and their findings may not be what you expect. When high-end disruptions do take off, they win big.

Disruptive Innovation 8

Disruptive Innovation Innovation Business Model Marketing 8

Harvard Business Review

NOVEMBER 5, 2018

We examined how each initiative impacted a company’s value through changes in its stock price, which we used as a proxy for determining the short-term costs of self-disruption. We looked in particular at firms with generation assets that would become redundant if the disruptive model became dominant.

Company 8

Company Disruptive Innovation Decentralization Software 8

Harvard Business Review

DECEMBER 4, 2018

Maxx and Marshalls—which compete aggressively on price. Price competition hurts. It also hurts the brands sold inside the stores, which in part explains why consumer product giants like Procter & Gamble are seeing their sales stagnate for products like Tide detergent, Gillette razors, Pampers diapers, and Crest toothpaste.

Brand 11

Brand Retail Incubator Merchandising 11

Harvard Business Review

APRIL 23, 2015

But there’s a critical problem with Tesla’s product strategy: it’s not actually disruptive , which will likely cause it to struggle to scale. But Telsa is starting from the top of a market, selling high-end vehicles at high prices. That’s why the most successful innovators usually do the reverse.

Price 8

Price Disruptive Innovation Incentives Bottom-up 8

Harvard Business Review

MARCH 1, 2018

In November, United States’ crude oil production exceeded 10 million barrels per day for the first time since 1970, according to the US Energy Information Administration (EIA). That deal sent the price of Brent crude oil to above $70 a barrel in January, after the industry that had suffered through $54 per barrel oil on average in 2017.

Offshoring 10

Offshoring Price Transportation Long-term 10

Harvard Business Review

JUNE 2, 2014

I also love Uber as a student (and teacher) of disruptive innovation theory, because the challenges the transportation company is encountering as it seeks to expand into new cities helpfully illustrate how to assess an idea’s disruptive potential. I clicked three buttons, and my ride was there in 12 minutes. Uber nails this.

Disruptive Innovation 8

Disruptive Innovation Disintermediation Business Model Innovation 8

Harvard Business Review

JULY 22, 2011

It is walking, talking, and continuing to pretend it's alive, but Spotify , Europe's outrageously successful streaming music product, has just shown us the future. To appreciate the truth of this claim, it's vital to understand one of Clayton Christensen's theories on marketing and product development: Jobs-to-be-done.

Christensen 16

Christensen Disruptive Innovation Price Business Model 16

Harvard Business Review

JANUARY 16, 2013

I think it's more a case of their being dissatisfied with their own lives and expecting that Apple's next product will fix everything. The constant refrain is that Apple has not introduced a disruptive product since Steve Jobs passed away. Volatile stock: In 2008, under Jobs, the stock price dropped by more than 50%.

Marketing 11

Marketing Stage-Gate Advertising Price 11

Harvard Business Review

FEBRUARY 21, 2011

But it got stuck in its core competence of traditional film products and missed the rise of digital photography and printing. To survive, it has stopped selling film cameras, focusing on the digital ones that dominate the market. Organizations such as IBM and GE have adapted over the years to remain competitive in the market.

Core Competence 14

Core Competence Prahalad Film Hamel 14

Harvard Business Review

OCTOBER 1, 2012

If the odds were 99:1 against breakthrough innovation inside the mature company, we'd still see leaders chasing after that golden ring. So how do you empower your corporate innovators to bring their ideas to market? Pursuing innovation inside a big company is a balancing act. He was completely right.

Innovation 15

Innovation Company ROI Disruptive Innovation 15

Harvard Business Review

JANUARY 30, 2014

In after-hours trading, the company’s share price fell 9% — representing $44 billion in lost market value. This kind of sharp price movement on seemingly modest news is not a new or isolated occurrence for Apple. Over the past 18 months the company’s stock price has careened from $705 (in Sept.

Price 8

Price Disruptive Innovation Uncertainty Marketing 8

Harvard Business Review

APRIL 15, 2014

By now, the idea that organizations must adapt in order to maintain both relevance and market share in a rapidly changing world is so ingrained that it’s been reduced to pithy sayings. If you bounce from one strategy (say, low prices) to another (full service) and back again, people won’t know what you stand for. What is the cost?

Disruptive Innovation 10

Disruptive Innovation Mass Marketing Fashion Porter 10

Harvard Business Review

APRIL 14, 2015

It’s easy to assume Apple Pay is one in a long line of disruptive innovations from the master of serial disruption. They would be disruptive if they were selling insurance from a company new to the industry using an independent, low-cost distribution channel, such direct to the customer, either by phone or online.

Company 8

Company Disruptive Innovation Retail Banking 8

Harvard Business Review

JULY 4, 2014

Today, almost every industry is vulnerable to the effects of digitization and to what Accenture calls “Big Bang Disruption.” New services can quickly go from trial to large-scale rollout and massive adoption, and established players can fall quickly by the wayside; think of how mobile GPS applications have taken the market by storm.

Insurance 8

Insurance Disruptive Innovation Industry Innovation 8

Harvard Business Review

DECEMBER 19, 2016

CEOs should actively manage five specific tensions in today’s complex global business environment: Disruptive innovation versus leveraging the company’s core strengths. When confronted with disruptive technologies, many companies fail to align digital strategies with their core strategies.

CEO 8

CEO Supply Chain Disruptive Innovation P&L 8

Harvard Business Review

APRIL 11, 2014

And they’d all seen radial tires take over the European market. But even though radial tires were far superior to bias tires in terms of durability, cost per mile, and safety – and could be sold for an attractively higher price — they presented a challenge to U.S. market in the first 18 months after their introduction.

Disruptive Innovation 8

Disruptive Innovation Technology Industry Business Model 8

Harvard Business Review

JANUARY 24, 2011

These were companies following the pattern of disruptive innovation. Now, I'm always hesitant to avoid basing too much on a company's stock performance as stock prices can move around for many reasons. Six of the seven companies individually exceeded the overall market, by wide margins.

Disruptive Innovation 13

Disruptive Innovation Benchmarking Sample Retail 13

Harvard Business Review

NOVEMBER 7, 2013

Retailers can buy the products at a 6% discount and earn a 10% commission on ebook sales recorded for a given device for the next two years. Independent bookstores have few options that would allow them to compete on price or selection. This concern is understandable given the magnitude of Amazon’s disruptive force.

eBook 8

eBook Retail Discount Disruptive Innovation 8

Harvard Business Review

AUGUST 7, 2013

"Free" product competition strikes again and the latest casualty is Weight Watchers, whose CEO recently left the company in the midst of the onslaught of free weight loss and fitness applications. Advantages typically include an established customer base, brand equity, market knowledge, and financial resources.

Disruptive Innovation 8

Disruptive Innovation Advertising Discount IPO 8

Harvard Business Review

AUGUST 29, 2011

Instead, his initial advantage came from his creation of a virtuous circle that underpinned his vision for the first durable mass-market automobile. But everything changed with the onset of the innovations introduced by General Motors in the 1920s , which took the direct opposite of Henry Ford's tack of "Any color. Used car trade-ins.

Innovation 15

Innovation Mass Marketing Price Market Segmentation 15

Harvard Business Review

MAY 31, 2011

companies produce the batteries required for price-competitive electric vehicles that can truly shift the market? The company appeared at this year's International Auto Show in Detroit with a mid-sized hybrid car that, at under $30,000, has better fuel efficiency than any other such product in the world. BYD of China can.

Incubator 13

Incubator Business Model Mass Marketing Globalization 13

Harvard Business Review

JUNE 13, 2018

. “If there ever were an antitrust case where the parties had a dramatically different assessment of the current state of the relevant market and a fundamentally different vision of its future development,” Judge Leon began his decision, “this is the one.” That strategy failed.

Media 8

Media Content Video Price 8

Harvard Business Review

FEBRUARY 18, 2011

I bet many readers have had a project shut down or seriously altered because of corporate fears of cannibalization — the idea that a lower prices product might eat away at the market of a higher priced one. After all, what company would want to replace a high priced product with a low priced product?

Chief Operating Officer 14

Chief Operating Officer Price Comparison Marketing 14

Harvard Business Review

MARCH 28, 2014

Disruption is an explanation of how small nimble companies unseat industry giants – but it is simultaneously a story of market expansion and the provision of ever cheaper and more accessible goods and services. Virtual reality is not a disruption to the computing market, instead it stands poised to disrupt content consumption.

Disruptive Innovation 8

Disruptive Innovation Automotive Software Fixed Costs 8

Harvard Business Review

AUGUST 20, 2013

The care, feeding, and culture of productive talent deserve all the attention and debate they get — and more. Relative to the enormous economic value talent can deliver, gluten-free gourmet cafeterias and concierge service represent a small price to pay. Keeping it productively innovative and innovatively productive is another.

Innovation 14

Innovation Disruptive Innovation Bottom-up Metrics 14

Harvard Business Review

JUNE 5, 2013

Marketers constantly tell me that they''re the stewards of the brand and while that sounds good at marketing conferences, it won''t matter at all in a world where customers can have a real relationship with a company through the expanded experience of using its actual products and services. Don''t Let Mobile Apps Get Pushy.

Insurance 8

Insurance Brand Disruptive Innovation Download 8

Harvard Business Review

FEBRUARY 27, 2017

In emerging markets, billions of people have moved out of extreme poverty. Meanwhile, business was free to focus on generating growth, productivity, innovation, and, ultimately, societal wealth. Software, sensors, and analytics are shifting value creation from stand-alone products to combinations of products and services.

Globalization 8

Globalization Supply Chain Human Capital Long-term 8