There is no single right answer or path forward, but there is one right way to frame the problem.
Companies, in fact, are specifically organized to under-invest in disruptive innovations! This is one reason why we often suggest that companies set up separate teams or groups to commercialize disruptive innovations. When disruptive innovations have to fight with other innovations for resources, they tend to lose out.
Interpretation
What this quote means
Companies often fail to invest in disruptive innovations due to internal competition for resources.
In this quote, Clayton M. Christensen highlights the tendency of established companies to underfund disruptive innovations, which can lead to missed opportunities for growth and market leadership. He suggests that to combat this issue, companies should create dedicated teams to focus on developing and commercializing these innovative ideas without the interference of competing projects, emphasizing the need for a strategic approach to innovation management.
Themes
In practice
Example use cases
In a business seminar discussing innovation strategies, someone might say, 'As Clayton M. Christensen noted, companies often under-invest in disruptive innovations, which is why we must advocate for dedicated teams to nurture these ideas.'
More from Clayton M. Christensen
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Creating a close connection to those you do business with has its many risks, rewards and consequences._x000D_ _x000D_ There are few things in business I have encountered that are more difficult than firing someone, particularly if that someone has always been, or has become a friend._x000D_ _x000D_ On the flip side, I have been rewarded with many friends.
Wherever we are seeing something getting used, that to us is an early indicator that there might be something that people want. And then let's figure out how to make that great. And then let's go figure out monetization.