Conceptual Framework Essay Example | Topics and Well Written Essays - 500 words

Conceptual Framework - Essay Example The disruptive innovation theory describes the process by which a product or service takes root initially in the market, in the form of uncomplicated applications, and then moves up the market in a relentless manner. The new product disrupts the entire market and existing value network and as well displaces the earlier technology and competitors. A disruptive innovation allows the whole population access to a whole new product that was initially historically accessible to a specific set of consumer with a lot of money. Business or companies can also be disruptive, and when in this nature the expected characteristics would be that, at least in the initial stages, of smaller target markets, lower gross margin, and products or services that may appear simple and unattractive solutions when compared to the traditional performance metrics (Fannin, 2012). Usually companies tend to innovate faster even than the rate at which their customers’ lives change. In such instances, an organization would end up eventually producing the products and services that are too expensive, good, and inconvenient for most of the customers. Pursuit of sustainable innovation has perpetuated what has helped companies historically to be established in new market such as India and succeed in their production endeavors. Ideally, companies have unwittingly, in most occasions, opened their doors to disruptive innovations and not sustaining innovation which in itself does not lead to the creation of new markets or value networks but, evolve the existing ones with better value. Generally, according to this theory, companies that are well managed and quick to respond to their clientele and have exceptional research and improvement can be impaired by disruptive innovation (Evans, 2002). The relation of this theory to my study is based on the apprehension of the actuality that, in India, new companies have sprang up in the recent past that have introduced new products in