As innovation lovers, we always like to describe innovation as a great, positive and helpful thing. However, as Clayton Christensen describes in his famous article “The Innovator’s Dilemma“, a lot of companies, oftentimes incumbents, experience in their industries, innovation has a negative, darker side as well. This side can damage these incumbents and wipe them away. Exactly on this topic, Dr. Ankush Chopra, has written his book The Dark Side of Innovation.
On this week’s post I would like to share with you a great theory that I have read this week about Increasing returns and the new world of business. The theory, that complements Christensen’s Innovation Dilemma, try to describe how today’s business world operates and how the new technology companies such as Uber manage to overcome some of the incumbents in their industries.