Final Answer:
An example of Joseph Schumpeter's Creative Destruction would be the introduction of smartphones, which transformed the market by rendering traditional cell phones obsolete.
Explanation:
Creative Destruction refers to the economic concept where innovations and advancements lead to the replacement or destruction of existing products, services, or industries by newer, more innovative ones. The introduction of smartphones is a quintessential example of this theory.
These devices revolutionized communication and rendered traditional cell phones, with limited functionalities, obsolete. This innovation disrupted the telecommunications industry, affecting companies focused solely on older phone models while creating opportunities for those adapting to smartphone technology. The market dynamics shifted significantly as consumer preferences changed, leading to the decline of established companies that failed to adapt and the rise of new players in the smartphone market.
This process showcases the essence of Creative Destruction, where technological advancements reshape industries, replacing older methods or products with more efficient and innovative solutions. Ultimately, this phenomenon drives economic growth but can also bring about the decline of established entities unwilling or unable to adapt to change.