Decide What You Stand For. And Then

People Still Cling To This Belief That Innovation Is Just Random And Unpredictable. But If You Look Closely, There Are Some Real Patterns. The Companies That Recognize And Take Advantage Of Those Patterns Have The Real Opportunity To Create Competitive Advantage.

In The First Stage Of Insight-building, All That Researchers Can Do Is Observe Phenomena. Second, They Classify The Phenomena In A Way That Helps Them Simplify The Apparent Complexities Of The World So They Can Ignore The Meaningless Differences And Draw Connections Between The Things That Really Seem To Matter. Third, Based On The Classification System, They Propose A Theory. The Theory Is A Statement Of What Causes What And Why, And Under What Circumstances.

Quite Often Startups Were First Out Of The Gate With A Sustaining Technology. But Somehow The Leaders Got The Technology And Stayed Atop Their Industries. Sometimes They Acquired The Startup; Sometimes They Just Developed The Technology As A Follower And Used Their Muscle And Mass To Win. But They Always Won.

The Answer Is The Disruptive Innovator, An Outsider, Who Creates A Product Or Service For The Non-existing Consumer In A Non-existing Market For Almost No Profit.

Capitalism Has Taught Us That Markets Are Always More Efficient Than Hierarchical Managerial Coordination. But In A Situation Where Those Three Conditions Aren't Met, I Can't Outsource Or Partner With You Because Markets Don't Function In The Absence Of Sufficient Information.