Article

Entrepreneurship, Technology and Schumpeterian Innovation: Entrants and Incumbents

Luca Berchicci and Christopher L. Tucci

in The Oxford Handbook of Entrepreneurship

Published in print May 2008 | ISBN: 9780199546992
Published online September 2009 | | DOI: http://dx.doi.org/10.1093/oxfordhb/9780199546992.003.0013

Series: Oxford Handbooks in Business and Management C

 Entrepreneurship, Technology and Schumpeterian Innovation: Entrants and Incumbents

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This article reviews the literature on the (lack of) innovativeness of incumbents both in creating new products and entering new markets. It then presents some non-anecdotal evidence as counter-argument to the alleged curse of incumbency. First, it uses as illustration a cross-sectional study by Chandy and Tellis of a large number of radical product innovations. Secondly, it explores to what extent the story of incumbents' inability to enter new markets matches the history of the computer rigid hard drive industry. This industry is particularly suited to this analysis since its technological generational changes have been described by scholars as ‘radical’ and ‘disruptive,’ and because its history served to inspire Christensen's recent theories.

Keywords: Schumpeterian innovation; new products; new markets; product innovation; incumbents; computer industry

Article.  6710 words. 

Subjects: Business and Management ; Entrepreneurship ; Business Ethics

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