What is the difference between disruptive and sustaining innovation?

What is the difference between disruptive and sustaining innovation?

Disruptive innovation refers to innovations that create new markets and value networks, often displacing established market leaders. Sustaining innovation, on the other hand, refers to improvements made to existing products or services to enhance their performance.

Can you give me examples of each?

Sure! An example of disruptive innovation is the rise of smartphones, which disrupted the traditional mobile phone market. An example of sustaining innovation is the regular updates and enhancements made to existing software applications.

Why is understanding this difference important?

Understanding the difference helps businesses strategize effectively. Disruptive innovations can open new markets, while sustaining innovations can help maintain competitiveness in existing markets.

How can companies foster disruptive innovation?

Companies can foster disruptive innovation by encouraging a culture of experimentation, investing in research and development, and being open to new ideas that challenge the status quo.