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The Innovator's Dilemma
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4.6 | (3,889 reviews)

The Innovator's Dilemma:

When New Technologies Cause Great Firms to Fail

Named one of 100 Leadership & Success Books to Read in a Lifetime by Amazon Editors - A Wall Street Journal and Businessweek bestseller

Author: Clayton M. Christensen

Publisher: Harvard Business Review Press

Published: January 2016

DIFFICULTY

intermediate

PAGES

288

READ TIME

≈ 360 mins

About The Innovator's Dilemma

Do great companies can fail precisely because they keep serving their best customers too well?

Christensen separates sustaining improvements from disruptive innovations—cheaper, simpler offerings that look unimpressive on mainstream metrics, then climb steadily upmarket. He shows, through disk drives, retailers, and mechanical excavators, how value networks and tidy spreadsheets steer incumbents away from small, low‑margin footholds where disruption takes root. Performance overshoot leaves overserved customers and pockets of non‑consumption; that’s where entrants win. The practical counsel is brisk: ring‑fence autonomous teams with different cost structures, judge progress by learning not margins, and be willing to start small.

If you build, buy, or lead, this book rewires your instincts to spot—and harness—the next wave before it quietly renders your advantages obsolete.

What You'll Learn

  • Sustaining vs. disruptive innovations
  • Spot early signs of market-disruptive trajectories
  • How value networks shape firm choices
  • When to spin out autonomous units for disruption
  • Design metrics and strategies for low-end or new markets

Key Takeaways

  • Disruption starts in low-end or new markets
  • Incumbents are constrained by their metrics
  • Autonomous units enable disruptive bets
  • Target overserved or nonconsuming users
  • Good management can still lead to failure

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