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http://ssrn.com/abstract=485282
 
 

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Organizational Responses to Discontinuous Innovation: A Case Study Approach


Jeffrey Thomas Macher


Georgetown University - Department of Strategy/Economics/Ethics/Public Policy

Barak D. Richman


Duke University - School of Law

March 2004

International Journal of Innovation Management, Vol. VII, No. 1, March 2004

Abstract:     
Research that examines entrant-incumbent dynamics often points to the organisational limitations that constrain incumbents from successfully pursuing new technologies or fending off new entrants. Some incumbents are nevertheless able to successfully implement organisational structures and develop routines that overcome these institutional constraints. We provide a case-study analysis of how three firms — Motorola, IBM and Kodak — responded to "discontinuous" innovations and the associated structural and organisational limitations that typical to incumbent organisations. Each firm was able to capture gains from new technologies and develop profitable products in emerging markets, although their abilities to sustain these gains varied due to subsequent organisational changes. Drawing from these case studies, we synthesise how firms can institute organisation strategies to continue to capture gains from disruptive innovations. A schema suggests that particular organisation strategies are comparatively optimal for corresponding points along an innovation lifecycle.

Number of Pages in PDF File: 28

Keywords: Architectural/Radical Innovation, Entrant-Incumbant Competition, Managemenet of Technology

JEL Classification: L20, O32

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Date posted: January 12, 2004 ; Last revised: August 3, 2012

Suggested Citation

Macher, Jeffrey Thomas and Richman, Barak D., Organizational Responses to Discontinuous Innovation: A Case Study Approach (March 2004). International Journal of Innovation Management, Vol. VII, No. 1, March 2004. Available at SSRN: http://ssrn.com/abstract=485282

Contact Information

Jeffrey Thomas Macher
Georgetown University - Department of Strategy/Economics/Ethics/Public Policy ( email )
Washington, DC 20057
United States

Barak D. Richman (Contact Author)
Duke University - School of Law ( email )
Box 90360
Duke School of Law
Durham, NC 27708
United States
919-613-7244 (Phone)
919-613-7231 (Fax)
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