Question: Disruptive innovation is about technological changes that spring from underserved, cheaper, consumer segments and that later move into the mainstream segment to attack the incumbent
Disruptive innovation is about technological changes that spring from underserved, cheaper, consumer segments and that later move into the mainstream segment to attack the incumbent companies hard (e.g., Skype vs AT&T; Netflix vs Blockbuster). The mechanism is the following: technologies brought about by disruptive innovation have attributes (e.g., delivery service) that are not considered important in mainstream markets. Given the definition above (underserved consumer segment and having subsidiary technological attributes of disruptive innovation) do you think Tesla's electric vehicles were a type of disruptive innovation? Why? Why not?
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