Open the business section of a major newspaper and you’re likely to find something being called disruptive. The term Disruptive Innovation has become virtually ubiquitous from Wall Street to Silicon Valley. Consequently, it’s also one of the most misunderstood and misapplied terms in the business lexicon.
Let’s set the record straight—Disruptive Innovations are not breakthrough technologies that make good products better. Rather, they are simple, affordable innovations that replace expensive, complex systems and products, thereby increasing accessibility and affordability for all.
To determine whether a product or a service is disruptive relative to something else, refer to these six questions, each of which indicates a potential disruption.