Thursday, October 10, 2013

What Clayton Christensen Got Wrong in his Theory of Low-End Disruption

I really like Ben Thompson's article, What Clayton Christensen Got Wrong in his Theory of Low-End Disruption

Christensen’s theory is based on examples drawn from buying decisions made by businesses, not consumers.5 The reason this matters is that the theory of low-end disruption presumes:

  • Buyers are rational
  • Every attribute that matters can be documented and measured
  • Modular providers can become ‘good enough’ on all the attributes that matter to the buyers

All three of the assumptions fail in the consumer market, and this, ultimately, is why Christensen’s theory fails as well."

Jonathan Gruber comments, Design Quality and Customer Delight as Sustainable Advantages.

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