Dynamic Commercialization Strategies for Disruptive Technologies: Evidence from the Speech Recognition Industry

Matt Marx (), Joshua Gans and David H. Hsu ()
Additional contact information
Matt Marx: MIT Sloan School of Management, Massachusetts Institute of Technology, Cambridge, Massachusetts 02142
David H. Hsu: The Wharton School, University of Pennsylvania, Philadelphia, Pennsylvania 19104

Management Science, 2014, vol. 60, issue 12, 3103-3123

Abstract: When start-up innovation involves a potentially disruptive technology—initially lagging in the predominant performance metric, but with a potentially favorable trajectory of improvement—incumbents may be wary of engaging in cooperative commercialization with the start-up. While the prevailing theory of disruptive innovation suggests that this will lead to (exclusively) competitive commercialization and the eventual replacement of incumbents, we consider a dynamic strategy involving product market entry before switching to a cooperative commercialization strategy. Empirical evidence from the automated speech recognition industry from 1952 to 2010 confirms our main hypothesis. This paper was accepted by Bruno Cassiman, business strategy .

Keywords: technology commercialization strategy; disruptive innovation (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (35)

Downloads: (external link)
http://dx.doi.org/10.1287/mnsc.2014.2035 (application/pdf)

Related works:
Working Paper: Dynamic Commercialization Strategies for Disruptive Technologies: Evidence from the Speech Recognition Industry (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:inm:ormnsc:v:60:y:2014:i:12:p:3103-3123

Access Statistics for this article

More articles in Management Science from INFORMS Contact information at EDIRC.
Bibliographic data for series maintained by Chris Asher ().