A Disruptive Innovation At The Start

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Introduction A disruptive innovation at the start offers a lower performance accordingly to what the market demands at a lower prices. Usually, the phenomenon of disruptive innovation is refer to the entrance of a new established firm that enters the market with a new product targeting non-consuming customers with a low quality product at a lower price. However, for established firm, disrupting the market can be challenging. In order to do that established firms need to relay on new emerging trends driven by the demand of the sector and incorporated new technologies to reinvent the way business is done in the industry. Established firms like, Facebook, Google, Netflix or Amazon are seen as a new generation of companies that were created …show more content…

In addition, Amazon published books, hosted its own app store, funded video content development, and operated Amazon Prime, an annual membership program with a wide range of benefits. Indeed, Amazon’s activities overlapped with those of Apple, Google, eBay, Alibaba and many other companies. Amazon is considered a business-model innovator because the established firm introduces new business models in its market that attracts new consumers. The main idea of a business model innovators is not to create or discover new products, but to simply redefine an existing product or service is and how it is provided to the customer. For example, Amazon did not create the concept of bookselling, but instead it redefined what the service is all about; it terms of what the customer gets out of it, and how is the service provided to the customers. Amazon exploiting new emerging trends Amazon’s business strategy in the past decade was to exploit new trends. Amazon didn’t limit itself in just providing a vast number of products, but it aimed to target non consumer in the segment of the online e-commerce. In fact, through the creation of its e-reader platform, “Kindle”, it was able to disrupt the market with a product that was similar to the purchase of books. However, the e-books are are priced at a lower price than normal books and the quality since they are

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