The art of innovation, Guy Kawasaki

The truth is that ice farmers never tried to become Ice factories. The owners of ice factories never tried to
create fridges. You remain that «business», which you define yourself. This is wrong because true
innovation occurs when you jump to the next curve or even create it.

Examples:
Those who would use banner advertising never thought of creating TV and putting the Ad there (make
business) – TV channels never thought of themselves as of platform for contextual internet advertising,
which significantly outplaced TV advertisement.
Horse riders never intended to build cars and sell them – Automobile companies never tried to build
planes in order to cross larger distances (and earn more).
Disruptive Innovation Explained

• The innovation is disruptive when a company storms a market and outperforms other players with
it. Disruptive innovation often offers not the highest quality of the product in the main parameters
but brings something fundamentally new to the market and increases company’s profitability.
• Innovator’s dilemma describes the choice between producing better products for current
customers (and gaining higher profits) or following disruptive innovation and producing more
affordable and simple products that none of their customers would buy (probably) and that would
ruin margins (probably).
• Managers should be analytical and data-driven while looking in the future and for that you must
be aware of theory (which is facts and data from the past). Looking through the lens of theory
helps to see the future brightly.
What is disruptive innovation? Harvard Business Review. Christensen, C. M., Raynor, M. E., &
McDonald, R. (2015).
Christensen supposes that Uber is not a disruptive innovation, because the company neither came to a
low-end market (they targeted clients who already use taxi services), nor established completely new
market. Uber also doesn’t fit to the «starting with low quality and then cover the market improving it».
Questions:
Can a monopoly live without innovations if it has unique access to technologies and resources that no one
else will ever have?
What is the statistics of getting 40+ for deep analysis of the company (Individual final report) according
to last year?