ABSTRACT
Changes in technology, and in particular, the introduction of disruptive technologies can fundamentally alter industries. We have discussed who will lead in the introduction of the disruptive technology, and who will benefit from the technology. The dominant companies in an industry seldom introduce a disruptive technology. Dominant firms tend to cater to their most sophisticated users, constantly adding advanced features to their existing products and technologies. Instead, outsiders often introduce new technologies. At first, the new technologies have serious limitations and so appeal to customers who will take a less sophisticated product at lower price than the old technology. Companies that want to benefit from a new technology need to find a way to protect their innovation and assemble the complementary resources needed to bring the technology to market.
