The Innovator's Solution

The Innovator’s Solution by Clayton M. Christensen offers some solid business solutions when it comes to starting a new business or a new business line in an already established company.  Below are some of my key takeaways. 

#1

Find a way to compete against nonconsumption.  There are several consumers who would love to use certain products, services, or technology if they could afford it or knew how to get it or use it.  Some of the most successful businesses found a way to offer something that already existed in the market but at a much lower price.  These products and/or services were often less sophisticated but met the needs of this “lower end” market.  Competing against nonconsumption is a great way to start.

#2

Ensure your product/service is completing a job that the consumer needs to get done.  Too often new products/services are geared toward something new and exciting rather than solving an already present need in the consumer’s life.  If we can offer a product or service that helps resolve or improve a problem that already exists in the customer’s life than we will have a better chance of success. 

#3

Hire people based on past experiences rather than current accolades, titles, or positions.  Most companies make the mistake of hiring people with a proven track record rather than people who have faced similar challenges and circumstances the job will entail.  A new start-up company or business line is very different than working and having success in an established one. 

#4

Most great companies begin by having an emergent or flexible strategy.  Be willing to change and adapt your initial plans and strategies with opportunities that emerge.  According to the author, over 90% of initial strategies are wrong and eventually get altered in order for the company to succeed.  Don’t get married to an idea too early on in the development process, otherwise it may lead to unwise choices and the eventual death of your organization. 

The book, The Innovator’s Solution, is a thought-provoking and helpful one for those interested in developing and exploring new business lines and disruptive opportunities.  Having a basic concept of the ideas found in this book will help any business professional charged with facing such decisions. 

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