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Which of the following must take place before a product qualifies as a discontinuous innovation?

Option 1: Market research.
Option 2: Consumer acceptance.
Option 3: Radical change in consumer behavior.
Option 4: Cost reduction.

1 Answer

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Final answer:

A product qualifies as a discontinuous innovation when it induces a radical change in consumer behavior. It's characterized by significantly altering existing markets or creating new ones, requiring substantial changes in consumer habits rather than just improvements to existing products.

Step-by-step explanation:

Before a product can qualify as a discontinuous innovation, certain conditions must be met which primarily involves eliciting a radical change in consumer behavior. Discontinuous innovations are characterized by their ability to create entirely new markets or to drastically alter the way consumers interact with existing markets and products. It is a type of innovation that differs significantly from existing products and requires a substantial change in the way consumers operate. A radical change is necessary because discontinuous innovations do not just improve existing products—they often replace them entirely or create entirely new categories.

In contrast to incremental innovations, which may be guided by market research, driven by cost reduction, or benefit from initial consumer acceptance, a discontinuous innovation requires consumers to adopt novel behaviors and alter their patterns of consumption significantly. The process is well-described in the technology adoption lifecycle developed by sociologist Everett Rogers, where an innovation gradually achieves market saturation. The initial adoption of such an innovation can be slow and requires a significant shift in consumer habits and perceptions, which is not necessarily dictated by cost or market research alone.

For instance, the creation of the first personal computer required people to learn an entirely new way of processing information and communicating, which was vastly different from the typewriters and mainframe computers of the period. This type of shift is essential for a discontinuous innovation to take root and eventually dominate a market.

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