Clayton Christensen (theory of disruptive innovation)

Clayton Christensen’s theory of disruptive innovation explains how new companies or technologies can initially serve overlooked or underserved markets with simpler, more affordable solutions. These innovations often start by offering lower performance than established products but gradually improve, eventually surpassing incumbents and transforming industries. Disruptive innovations typically enter markets in niche segments before expanding, challenging established players and reshaping the competitive landscape. This process highlights the importance for incumbent companies to recognize and adapt to disruptive changes, which can threaten their dominance but also create new opportunities for innovators.