{"id":2864,"date":"2018-02-05T19:09:07","date_gmt":"2018-02-06T00:09:07","guid":{"rendered":"http:\/\/sites.nd.edu\/entrepreneurlaw\/?p=2864"},"modified":"2018-02-05T19:09:07","modified_gmt":"2018-02-06T00:09:07","slug":"facebook-the-innovators-dilemma","status":"publish","type":"post","link":"https:\/\/sites.nd.edu\/entrepreneurlaw\/2018\/02\/05\/facebook-the-innovators-dilemma\/","title":{"rendered":"Facebook & the Innovator’s Dilemma"},"content":{"rendered":"

The Schumpeter reading brought to mind other readings I had for Law 2.0 regarding the Innovator’s Dilemma<\/a>. Schumpeter’s “creative destruction” and\u00a0Clayton Christensen’s “innovator’s dilemma” appear to be closely linked. The innovator’s dilemma suggests that the relationship of value and innovation is an S-curve. Thus, large incumbent firms that are far along in the product development iteration process struggle to catch up with smaller, more nimble, start up companies that have targeted a different customer base and are reaching the peak of their iterative value. Essentially, large companies lose their edge and smaller companies can come along and disrupt their stranglehold on the market (see Kodak<\/a> example).<\/p>\n

This article<\/a> discusses how Facebook is currently facing the innovator’s dilemma. The main point is that Facebook cannot wait around and do nothing about the drawbacks to its platform. “For all its vaunted lock-in, if someone can deliver a version of social media that satisfies the market’s needs better than Facebook without its drawbacks, it will supplant Facebook as quickly as Facebook supplanted MySpace.” For now, it appears that Mark Zuckerberg is taking the need to continue innovating very seriously.<\/p>\n","protected":false},"excerpt":{"rendered":"

The Schumpeter reading brought to mind other readings I had for Law 2.0 regarding the Innovator’s Dilemma. Schumpeter’s “creative destruction” and\u00a0Clayton Christensen’s “innovator’s dilemma” appear to be closely linked. The innovator’s dilemma suggests that the relationship of value and innovation … Continue reading →<\/span><\/a><\/p>\n","protected":false},"author":2872,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2864","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/posts\/2864","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/users\/2872"}],"replies":[{"embeddable":true,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/comments?post=2864"}],"version-history":[{"count":1,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/posts\/2864\/revisions"}],"predecessor-version":[{"id":2865,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/posts\/2864\/revisions\/2865"}],"wp:attachment":[{"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/media?parent=2864"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/categories?post=2864"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sites.nd.edu\/entrepreneurlaw\/wp-json\/wp\/v2\/tags?post=2864"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}