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Disruptive Innovators Create Opportunities and Risks in the Long-Tail Marketplace

Published by: IDC

Published: Jan. 10, 2007 - 12 Pages


Table of Contents



Table of Contents

IDC Opinion

In This Study

Situation Overview

Insurgents Use Disruptive Innovation to Take Share from Incumbents

Figure: The Contrast Between Sustaining Innovation and Disruptive Innovation

Figure: The Effects of Market Perception and Disruptive Innovation on Market Share

Disruptive Innovation Has Already Wreaked Havoc on Iconic ICT Firms

Current Disruptive Innovations Include Offshoring and Open Source

Future Outlook

Long Tail Will Nurture Disruptive Innovation

Figure: The Statistical Relationship Between the Long Tail and Disruptive Innovation

The Canadian SMB Market Epitomizes the Long-Tail Opportunity

Figure: The Canadian SMB Market and the Long Tail Opportunity

Vendors Will Intensify Their Focus on Reaching the SMB Long Tail

Essential Guidance

Learn More

Related Research

IDC Research

Non-IDC Research

Synopsis

Abstract

This IDC Canada study examines why smart, well-managed companies experience high failure rates of business models and business strategies. This document explains how the forces of disruptive innovation and a distribution phenomenon known as the "long tail" combined to challenge the incumbency of iconic ICT firms like DEC, Data General, Wang, Compaq, and Siebel. The study continues by illustrating disruptive innovations occurring in today's marketplace and why IDC expects that the midmarket will be a hotbed for disruptive innovators.

"Executives should understand that a disruptive innovation strategy, coupled with the characteristics of the long-tail markets, represents both opportunity to grow their market share and risk of succumbing to failure at the hands of insurgent players," says Vito Mabrucco, managing director, IDC Canada.



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