Published online by Cambridge University Press: 06 June 2025
So far, we have looked at the challenges of generating new innovations, but that is of course not the end of the story. To bring about, or defend against, Creative Destruction, the product innovations that firms develop need to get into the market or otherwise diffuse. In the first reading, we look at how diffusion tends to happen and how, from a company’s perspective, high-tech products might follow slightly different dynamics and call for substantively different strategies. Then, we address the question of when to enter an industry and bring a product to market, exploring the advantages that firms can try to capture by being a “first mover,” and the disadvantages that they will have to grapple with along the way. Third, we explore what it means to bring innovative products to the market when those products are not yet understandable to their users, and why markets for new technologies sometimes behave in very peculiar ways.
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