The Impact of Disruptive Innovations on Corporate Strategies

One of the key contributing factors to the disappearance of more than half of the corporations listed in the Fortune 500 was the failure of many corporations to respond in a timely manner to dynamic changes in the global market, where innovative strategic action and proactive positioning play a crucial role in maintaining a competitive advantage. This challenge is particularly evident in the context of disruptive innovations, which, due to their inherent nature, often go unnoticed by large corporations, posing significant risks to their market positioning. This paper examines the intensity and impact of disruptive innovations on the operations of incumbent corporations and analyzes how effectively these organizations respond to the challenges posed by disruptive innovation. In addition to presenting a typology of disruptive innovations, the study analytically examines their impact on corporate strategies, with a particular focus on the principles of open innovation. The findings, presented as a critical reinterpretation and theoretical synthesis, suggest that there is no universal prescriptive strategy for overcoming the effects of disruptive innovations. Incumbent organizations often rely on standardized best practices adopted from other corporations in their innovation processes, which do not necessarily lead to desired outcomes. This paper contributes to a deeper understanding of the phenomenon of disruptive innovation. It provides valuable insights for both theoretical exploration and practical application, particularly in the domain of corporate strategies at national and regional levels.