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Post by patiencedaigle on Feb 20, 2014 0:27:36 GMT -6
I think the best alternative to this is to develop products and services that accommodate the needs of high-paying and low-paying customers. For instance, have a specialized and generic brand of the same base product. I think it takes the least of effort to attract the high-paying consumers, and loyalty is found in those lower-paying consumers that can count on your high quality/low cost products. It's an obvious strategy; when you out layers you'll eventually be left with nothing.
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Post by melanconcaitlin on Feb 20, 2014 12:21:17 GMT -6
The initiative of disruptive innovation is a way for smaller markets to compete in the competitive world of products. The fact that this innovation is segmented by jobs and not product size or demographics is what I think gives smaller markets the ability to compete. When markets start to grow and expand some tend to have a strategy of also increasing profit sizes. Increasing a companies profit would call for newer, better, bigger, faster, etc. features of their products and/or services in order to get the higher paying customers. When markets change gears towards profit strategies, they may tend to abandon the customers who were being serviced by the previous jobs. The perfect opportunity for the smaller markets to come in is at this point to offer the jobs that the growing firms are no longer providing.
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Post by jprend on Feb 23, 2014 21:55:22 GMT -6
What i took from this video about disruptive innovation is that even smaller stores can be as successful as the bigger expensive stores. These smaller stores are selling cheaper or are local and people prefer them. They do not want to pay more money for something that they can get cheap and work as well. I shop at smaller stores for many things, i know that i like them and they meet my standards. I worked for a company who was local and been around for over 25 years and we had more local customers come to us rather than a chain bigger company.
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Post by jimmykotter on Feb 25, 2014 11:46:32 GMT -6
amazing video! loved how simple they put the idea of how we can compete with industry giants. the fundamental idea is developing new technology that has potential to consume some of the market. this is what makes capitalism so exciting. it allows the little guy with a good idea to be heard.
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Post by jjohnson on Feb 26, 2014 8:28:42 GMT -6
It’s interesting to see just how easy it can be to get into a new market. One example or at least I think it’s an example, of this strategy is any fast food industry. At first there were only restaurants, some with a quick pick-up section. Fast food stands noticed the lack of ease with getting food when you are on the go, so they came up with their own businesses. These started out as carts, small huts, or buildings. Then they got innovative and decided to add drive through windows. This made food pick-up even easier. Although I don’t believe that fast food chains can really give restaurants large competition, the restaurants have become competitive and innovative also. Now places like Chili’s, Applebee’s, and Santa Fe Cattle Co., are offering a carry out service to consumers. They realized that many people still wanted better, healthier, food, which fast food chains don’t really offer. Now with this new carry out service, anyone can call, order their food, and have it brought to their car; they don’t have to get out and go inside, which I believe is a major selling point for fast food chains.
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Post by gkboone on Feb 26, 2014 19:03:20 GMT -6
Until today, disruptive innovation is something I have never heard of. I'm not entirely sure if disruptive innovation is the best way to go about forming a business. Being innovative is very important, but charging less for something of higher quality isn't always a good idea. Recently, Apple put out a product that seems to be more affordable for the general public called the iPhone C. It is made out of a different material but basically does the same thing as a normal iPhone. I think this was apple's way of broadening the amount of customers they have the potential of receiving. This example is what I thought of while watching the video on disruptive innovation.
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Post by danielhutton on Feb 27, 2014 14:35:18 GMT -6
I like the point that this video is making. If your market segment is already established and has proven to be successful, it doesn't help to change the identity of your product. As the video showed, that can do more harm than good. It would be best to just treat it as a totally different product.
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klayne
Junior Member
Posts: 24
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Post by klayne on Feb 27, 2014 19:07:47 GMT -6
Disruptive innovation is great for new companies as well as consumers. Bid industry companies tend to put more focus on their higher profit customers, so much that often the lower end customers are over looked. That is when a new player, known as the disrupter, enters the market. The small, but effective disrupter takes advantage of the open market to make their place. They offer a more basic, but affordable version of the product the big industry offers. In many cases once the big company figures out what happened, the disrupter has already claimed a share of the market. This causes the big company to come out with their own economic line. I think as a consumer this is great because it means the most amounts of options to choose from. Also, from a small business owner it is great because it allows them to compete with the biggest.
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Post by jodiemalley on Mar 1, 2014 15:11:42 GMT -6
Disruptive innovation? The introduction of new technologies, products, or services in an effort to promote change and gain advantage over the competition. This video informed me that a business can be successful, even starting small. In today’s society, bigger is always better for those who can afford it. But most people, even those who are wealthy, like to save money and will seek the cheaper substitute for certain goods. So I feel that it depends on the business, the product, and the location of becoming successful and innovating change to fit the people of the market.
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Post by bleblanc on Mar 7, 2014 8:51:34 GMT -6
The large companies become so obsessed with profits and how they can improve their business model that they forget about the customers they were marketing to originally. In this instance, these companies deserve the disruption, because they are no longer serving their customers; they are serving themselves. By focusing on the consumer, the small entrepreneurial companies are taking over the market and realizing more profits than the larger companies. This is a good example of how putting the customer first can really benefit a company.
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Post by karenwag on Mar 7, 2014 13:19:52 GMT -6
This video was very informative to me. I have never heard of the disruptive innovation before. This seems to me to be a great strategy for smaller business that are forced to compete with large industries. The concept seems some what similar to the idea of competitive advantage. Really disruptive innovation just comes from knowing your market and having a target market. Then forming a business plan around that as well as using competitive intelligence.
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Post by asmith422 on Mar 10, 2014 19:34:26 GMT -6
I have never heard of disruptive innovation until I watched this video, but it makes total sense. Large scale companies become so successful that they spend their time tweaking a product they have that is already great. Meanwhile new companies that are entering the market are using those ideas and making them better more efficient versions that are cheaper for the consumer. Large companies need to realize that the average consumer wants to spend the least amount of money they can for a good product. They want whats new and fresh but at a reasonable cost. I think that this is a very important concept to understand in order to stay competitive in today's market.
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Post by robertnicholson on Mar 26, 2014 21:37:38 GMT -6
This video was very enlightening. I learned a lot of new terms and concepts from it. I really enjoyed how the new business invaded the market and then the older larger corp was able to fight back as well. I guess it shows that no one is safe from outside competition.
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Post by kaitlyncampbell on Mar 27, 2014 14:08:39 GMT -6
Being the disrupter can be a big advantage for smaller companies. Also being disrupted can be a make or break for a larger corporation. I think it is important to always keep your business afloat by responding to your higher paying customers but also your lower end consumers who just want to pay minimum.
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Post by kourtneyb on Apr 3, 2014 18:52:09 GMT -6
This video makes complete sense, find the what the market isn't offering and give it to the consumer, or course it must be a want the consumer has. Many companies as the video states do branch off to do this, many companies that offer broad selections are often able to be traced back to one parent company. this is sometimes good to know that a well known company is still baking this new product line, by doing this it also offers customers a sense of peace knowing their not dealing with a fly by night organization.
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