Exam 6: Disruptive Technologies: Understanding the Giant Killers and Considerations for Avoiding Extinction

Disruptive innovations don't need to perform better than incumbents; they simply need to perform well enough to appeal to their customers (and often do so at a lower price).

Firms may want to use ARM chips because they draw less power than Intel chips.

Cross-border bank transfers are not likely to adopt bitcoin since these functions are already electronic and highly automated.

ARM is one of the only firms, aside from Intel, that has scale allowing it to own and operate its own fabs.

What are the characteristics of disruptive technologies? Give an example of disruptive technology.

Which of the following is true of disruptive technologies?

List and briefly discuss current concerns that are limiting the adoption of bitcoin.

Disruptive technology is also called disruptive _____.

Why can't big firms simply wait until disruptive innovations prove themselves before they invest in these new areas?

Intuit has avoided disruption in the shift away from packaged software by developing products that leverage cloud computing, some of which are initially provided for free.

Like most open-source efforts, bitcoin was created by a consortium of for-profit corporations hoping to fuel adoption of a beneficial new standard.

An option is a right and an obligation to make an investment.

Which of the following is a way to recognize potentially disruptive innovations?

Individuals known as ____________ participate in verifying and maintaining transactions and are occasionally awarded for their efforts through the receipt of bitcoins.

Firms that listen to existing customers and tailor offerings based on this input are far more likely to identify potentially disruptive technologies than those that experiment with products that existing customers do not demand.

Incentives for U.S. consumer adoption of bitcoin are quite high.