Purpose Must Be Deliberately Conceived And Chosen,

Capitalism Has Taught Us That Markets Are Always More Efficient Than Hierarchical Managerial Coordination. But In A Situation Where Those Three Conditions Aren't Met, I Can't Outsource Or Partner With You Because Markets Don't Function In The Absence Of Sufficient Information.

The Mistake Managers Often Make Is Defining Their Industry Too Narrowly. Digital's Market Share In The Minicomputer Market Stayed Very Robust Even As It Fell Off The Cliff. Disruption Seems To Come Out Of Nowhere, But If You Know What To Look For, You Can Spot Important Developments Well Before The Market Does.

If A Company Truly Wants To Resolve The Innovator's Dilemma, It Does Need To Be Able To Create Wave After Wave Of Disruptive Innovation. And Those Disruptive Innovations Will Typically Grow To The Point Where They Do Cause Some Pain For Leading Companies. But Most Disruptive Innovations Create Substantial New Growth Before They Cause That Pain.

Because Of The Disruption Phenomenon - Technological Progress Outstripping The Ability Of Customers To Utilize It - The General Tendency Is For The Money To Migrate Toward The Subsystems.

I've Concluded That Getting The Categories Right Is An Absolutely Crucial Step To Building Useful Management Theory, And Unfortunately Too Few Writers Do This. You've Got To Engage In Serious Scholarship, And Then Figure Out How To Write It In A Way That Lots Of People Can Understand.