Thursday, February 21, 2019

Disruptive technology Essay

The first understructure that was mentioned in this case was that of an Incremental Innovation. An incremental introduction is a series of small improvements to an existing mathematical crossway or product line that usually helps maintain or improve its competitive postal service over time. Incremental innovation is regularly used within the high up technology business by companies that need to continue to improve their products to take radical features increasingly desired by consumers. The case describes that the old medical specialtyal mode of selling hard copy music, movies, and games could shift to providing new e-tailing channels done which you potbelly obtain the latest CD of your preference for example, from Amazon.com or CD-Now or 100 other websites.These innovations increase the choice and tailoring of the music acquire service and demonstrate some of the richness/reach economic shifts of the new Internet game. This is non a drastic vary in merchandise to s ell hard copies of these products it is simply a shift from the brick and mortar to an online option. It does not shift the way these products be produced, but is however an incremental change in the way it is distributed. The second innovation which was set forth was a discontinuous innovation. Discontinuous innovations cause a paradigm shift in intelligence or technology and/or the market structure of an assiduity. As they ar entirely new-to-the world products, made to perform a function for which no product has previously existed, discontinuous innovation requires a good hoi polloi of learning for the incumbent make-up and its value network, including the user.This Discontinuous innovation is described in the ways in which music is progress tod and distributed, and in the business gravel on which the whole music industry is currently predicated. Discontinuous innovations alike disrupt constituted routine and may even require a very different set of capabilities and ne w behavior patterns. The notion of knickknack is relative so a discontinuous innovation for one organization might be an incremental one for another(prenominal). As the case describes, draw a bead on musicians no longer need to depend on being picked up by A&R staff from major companies who can halt the costs of recording and production of a physical CD.Instead they can use home recording software and either produce a CD themselves or else go straight to MP3 and then distribute the product globally via newsgroups, chat rooms, etc. In the process they effectively create a parallel and much more direct music industry which leaves existing doers and artists on the sidelines. Napster posed a huge threat to the established music business since it involved no payment of royalties. There are now many other sites emulating and extending what Napster started sites such as Gnutella, Kazaa, Limewire took the P2P idea however and enabled exchange of many different file formats text, vide o, etc. In Napsters own case the phenomenally successful site concluded a deal with entertainment giant Bertelsman which paved the way for subscription-based services which house some revenue stream to deal with the royalty issue. Apple was another company who saw the need for change, and successfully implemented discontinuous innovation to shake up the music industry.With the launch of their successful iPod personal MP3 player they opened a site called iTunes which offered users a choice of thousands of tracks for download at 99c each. In its first weeks of operation it recorded 1 million hits and in February 2006. Over 1 billion songs have now been legally purchased and downloaded around the globe, representing a major force against music piracy and the future of music distribution as we move from CDs to the Internet.Works Citeddiscontinuous innovation. (2013, September 7). Retrieved from Lexicon http//lexicon.ft.com/ term?term=discontinuous-innovation Incremental innovation. (2 013, September 7). Retrieved from Business Dictionary http//www.businessdictionary.com/definition/incremental-innovation.htmlixzz2eE7EGEmb

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