If you are thinking of starting a
new business, could it be the next disruptive force in the marketplace? Read this article by ABE’s digital marketing
manager, Maria Koukou, for some great examples of how new business ideas can
disrupt the established marketplace.
Business models are subject to rapid displacement, disruption, and, in
extreme cases, outright destruction according to McKinsey Global Institute.
Since 2000, more than half of the companies in the Fortune 500 have either gone
bankrupt, been acquired or ceased to exist due to disruption.
But what is disruption? Clayton
Christensen, Professor of Business Administration at the Harvard Business
School, first introduced the Theory of Disruptive Innovation to describe companies
which shake up industries by discovering new segments of end users until the established
competitors are displaced.
And how do companies thrive in
the age of disruption?
A key response to disruption is
to constantly innovate business models.
Professor Serguei Netessine from Singapore,
revealed that only 5% of companies practice business model innovation and those
that do not focus enough on their business models are more likely faced with
disruption. For example, companies should be more aware about their customers’
behaviours and needs, otherwise someone else is going to directly address pain
points matching the gap between customers’ wishes and what is being delivered
to them.
Spotify offers the value of
on-demand and interest based music that disrupts radio and Amazon wouldn’t have
launched the Amazon Web Services if it didn’t believe that companies did not
want to own their infrastructure. Airbnb uses the shared economy model finding
a home for everyone around the world while on holiday, reframing the idea
around accommodation; it took Airbnb four years to build an inventory of
900,000 rooms when Hilton Hotels after 93 years has reached 600,000 rooms globally.
Now.. how disruptive can your business
idea be?
Suggested resources:
ABE’s
Business Start-up and Entrepreneurship qualifications can give you the know how
to turn your innovative flare into business success. Click here to find out more.
I agree with your points. Have to show this to someone who's eager to start a business. this may help
ReplyDeleteEvery show is unique, some shows have the master plan and have everything figured out and that's just the way they do things. It's like high school. Some people write their papers the second they get their assignments, and some people write it the day after it's due. I am the latter.Assignment Writing Service
ReplyDeleteUsing a Facebook fan page is among the best methods read the full info here for advertising because you focus only on people who are interested on specific goods and services hence enabling you to advertise to only who are interested to your service.
ReplyDeleteI like viewing web sites which comprehend the price of delivering the excellent useful resource free of charge. read the full info here
ReplyDelete