Technology cycles and innovation are two useful phenomena that can be used to explain how competitive advantage of companies can be maintained over time. Technology cycle can be defined as the period of time between the birth or introduction of a new technology and when it is replaced by a newer and substantially better technology. Technology cycle occurs whenever there is major advance in the knowledge, tools and techniques in a field. Innovation is the successful implementation of novel and useful ideas. Innovation is connected to technology cycle in the way that it forms the trigger to effect the technological discontinuity that replaces the old technology with the new technology.
Innovation can be easily copied or modified by the competitors and implemented in more intuitive manner. One great way to protect and maintain sustainable competitive advantage is to create a stream of innovative ideas and products over time, so that, there are frequent technology cycles, say every year. This gives little time for the competitors to copy the benefits obtained from an innovation. Innovation stream forces the industry to go for technology.
Article Copyright - Deepesh Joseph (2003-2020)
Research Reference:
1. Williams C. (2007). Management (4th ed., ). Thomson South Western.
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nice post!
ReplyDeleteTechnology innovates to improve its purpose, to make jobs easier, and to create higher competition in the market. There are information technology solutions, like in Houston. Computer network support professionals offer their services to large companies and institutions to cut down labor cost, to increase work production and to manage records and files easily. Innovation of information technology is not limited to large companies; it also helps small businesses to develop in Houston. Computer support is one investment that leads to increase in assets of the company to support and protect its business.
ReplyDeleteInnovation is the very juice competition. The only way this would be drawn out is if 2 highly competitive businesses collide in the middle. The winner gets to drink this with a reasonable amount of sugar in it.
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