Different trends and developments put established industries under constant pressure.
Market developments like:
- the globalization of markets,
- increasing international competition,
- the disruption of markets through new technologies and business models as well as the
- digitalization of products and services
require that corporate companies place great importance on innovative ideas.
Knowledge-based businesses have the potential to break through industry barriers and create meta-industrial businesses. The next wave of economic growth is going to come from knowledge-based businesses.
Smart (knowledge-based) products, created by knowledge-based businesses, can be identified by a variety of characteristics: they are highly innovative, interactive, they become smarter the more you use them, and they can be customized. In short they are closer to the customer.
Young technological ventures disrupt product industries, starting from cigarettes to game consoles and not ending with the automotive industries. Hence corporate companies are under pressure to move innovation to the forefront of corporate agendas as knowledge and innovation will only increase in importance.
There are many ways to identify and potentially insource innovation. Each of which has advantages and disadvantages. One way that is increasingly getting more attention is incubators and accelerators.
In order to survive the evolution of business established industries are required to review their business models and (similar to the mantra of the US Marine Corps) need to innovate, adapt and overcome (similar to the mantra of the US Marine Corps – Improvise, Adapt and Overcome).
The next blog entry will shed more light on the challenges of current business acceleration approaches and show how to partially overcome them.