Kodak and Disruptive Innovation
Kodak is the brand that made photography what it is today, this company has made more breakthroughs than any other… and even though they have a glittering glorious past, their present is in a chaos. Why is that? Kodak was the victim of a disruptive innovation – the digital photo industry. And what is ironic is that they started it. Now Kodak has recently filed for bankruptcy…. So what happened throughout their history that lead to this? Designzzz has told the story visually, take a look below.
Kodak ultimately tried to keep improving itself. Now that makes good business sense – but they forgot to keep innovating around their customers needs. The reason they failed was that Kodak didn’t feel the urgency to change their offering;
“For example, in the early days of Kodak’s disruption, its core film business actually was growing. A lack of urgency allows a company to treat new growth efforts as science experiments that are academically interesting but not vital activities. However, once the urgency grows, freedom narrows rapidly, as attention goes to staunching the bleeding in the core business.
Place multiple bets. It’s always hard to know which idea is going to be “The One,” especially in fast-changing industries. An ideal response involves a portfolio and pipeline of growth strategies — again, started early enough that they have time to iterate, incubate, and grow.”
- Scott Anthony
So what is our lesson?
Don’t stop innovating and deeply know your customer. Don’t always do as your customer says, but don’t disregard what they say either.