Digital revolution Flashcards
Describe “creative destruction”
- The innovator’s dilemma
- Low end vs. new market disruption
What is the concept “The dinosaurs” about?
Companies that didn’t change in order to follow the technology
Describe the difference between Revolution vs. Evolution
Darwin
Perez
+ Entrepreneurial spirit
The historical waves (model)
Current technology
Emerging technology
Industry features
How we use technology impact the way we organize work
- Network-based
- Decentralized management
- Blurred boundaries
- Intangible assets
Generativity and affordances
Generativity: Technologies ability to spire new innovation, ex. internet
Affordances: The limitation of a physical product, ex. smartphone
Trends
- Sharing economy
- Interconnectedness
- low tech
- rise of platforms
Digital platform
The equation for calculating value of a platform
A platform is something that support something.
Value = user’s * switching cost per user
Digital platform - 7 types of lock-in and switching cost
Lock in
- contractual commitment
- durable purchases
- brand specific learning
- information and databases
- search costs
- network effects
- loyalty programs
Switching costs
- Compensatory damages
- Replacement cost, complementary products
- Interface learning, corporate re-training
- Cost of time, attention, uncertainty
- Lost relationships, lost network value
- Lost accumulated benefits
Digital platform: Homing costs ?
“De samlede omkostninger ved at benytte en platform kaldes ’homing costs’.”
Platform designs
One-sided (Trustpilot)
Two-sided (Mobile-pay - individuals and businesses)
Many-sided (Facebook - everyone)
Sharing economy
environmental, destroying opportunities for other companies, challenges companies to be innovative
Digitalization of work
Impact of new and emerging technologies (e.g. Internet of things, cloud computing, AI, drones)
Dynamic capabilities (model)
The technology affects the companies need for competences and development
New business models
- Long tail
- Power by the hour
- Holes instead of hammers
