This paper addresses the understanding of disruptive change by highlighting the problems that arise when incumbent firms face disruptive innovations within their markets. In order to generate a new understanding of the competition that arises through disruptive change, disruptive innovations are linked to the concept of “hypercompetition” made by Richard A. D’Aveni. This concept implies the possibility to disrupt the market by implementing a new strategic orientation called the new “7-S Framework”. However this implies the necessity of reorganizing the incumbent firm. A possible approach is introduced. With this paper the author tries to identify a possible method to become disruptive for incumbent firms. The topic is “disruptive change and corporate response to it”.
Index
1. Introduction
2. Methodology
3. An overview of the phenomenon „disruptive change“
3.1 Defining disruptive change
3.2 The pathway of disruptive innovation
3.3 Why incumbent companies fail to cope with disruptive change
4 disruptive change lead to?
4.1 The concept of hypercompetition and linkages to disruptive change
4.2 The new 7-Ss as a strategic orientation for incumbent firms
4.3 Reorganizing the incumbent firm in order to create abilities to become disruptive
5. Conclusion
References
Appendix 1
Figure 1
Figure 2
Table 1
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