Disruptive innovation at the bottom of the pyramid (DI BOP)
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Due to the different dynamics required for organizations to serve the emerging market which contains billions of people at the bottom of the pyramid (BOP) coupled with the increasing desire for organizations to grow and be more multinational, organizations need to continually innovate. However, the tendency for large and established companies to ignore the BOP market and rather focus on existing markets, gives an indication of the existence of a vulnerability that potentially disruptive innovations from the BOP will not be recognized in good time for a counter measure. This can be deduced from the fact that good management practice advocates that managers should learn and listen to their customers. Therefore majority of the large existing companies continually focus on their main customer/market with sustaining innovations which leaves aspiring new entrants with an under-served BOP market to experiment with.
![Introduction: Disruptive Innovation [ DI ]
Introduction
Objectives
Methodology
Results
Conclusion
Leading Company
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DIBOP Research](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)
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Disruptive innovation at the bottom of the pyramid (DI BOP)
- 1. Trends and Future of Sustainable Development 9-10 June 2011, Tampere Finland Disruptive Innovation at the Bottom of the Pyramid AbayomiBaiyere & JasparRoos Twitter: @speak2ab @jasparroos Image: wisemarketing.files.wordpress.com
- 2. Introduction: Disruptive Innovation [ DI ] Introduction Objectives Methodology Results Conclusion Leading Company Image: http://www.lawgazette.co.uk DIBOP Research
- 3. Introduction Bottom of the Pyramid [BOP ] Introduction $55+ per day 75–100 M Objectives TOP Methodology Results Conclusion Less than $4 per day [BOP] 4000 M People DIBOP Research
- 4. The Curiousity. [ DIBOP ] Introduction Objectives Methodology Results Conclusion DIBOP Research
- 5. What? Can DI occur Introduction at BOP? Objectives Can DIBOP Methodology impact sustainability of Results top companies? Conclusion How should DIBOPs be dealt with? DIBOP Research
- 6. How? Prior Research Introduction Objectives Methodology Results Conclusion Interviews Simulation DIBOP Research
- 7. Clarifying Basics. Innovations Radical •. Telephone, Light Bulb Introduction Objectives Methodology •. Results Discontinuous Mobile phone, Inkjet printer Conclusion Disruptive •. Market Simple Non Mainstream /www.computerservicestoronto.com/ DIBOP Research
- 8. Clarifying Basics. BOP Redefined Global Traditional BOP Introduction Objectives Methodology •. BOP BOP Results Regional Conclusion BOP BOP B2B Fortune 500 SME DIBOP Research
- 9. How? Contd. DIBOP Simulation Agent Based Modelling Introduction Objectives Methodology Results Conclusion DIBOP Research
- 10. How? DIBOP Simulation Introduction Objectives Methodology Results Conclusion To run the simulation visit: http://goo.gl/jII1h DIBOP Research
- 11. How? DIBOP Simulation Introduction Objectives Methodology Results Conclusion To run the simulation visit: http://goo.gl/jII1h DIBOP Research
- 12. Contribution: Mathematical Model DI = Disruptive innovation I = innovation NE = New Entrant Introduction Objectives Methodology Results = factor of disruptiveness Conclusion DIBOP Research
- 13. Contribution: Scenario Model High Innovation Introduction Objectives Methodology Results TOP Focus only BOP Focus Conclusion Low Innovation DIBOP Research
- 14. Contribution: Theory Proposition I Introduction The impact of a DI is independent of its region of occurrence, but is limited by the spread of the industry it Objectives disrupts. Methodology Results Conclusion Industry DIBOP Research
- 15. Contribution: Theory Proposition II Introduction The level of DIBOP occurrences can influence the gap between companies at the TOP and the BOP. Objectives Methodology Results Conclusion DIBOP Research
- 16. Contribution: Role of IT Introduction Objectives Methodology Results Conclusion IT capabilities not just for today but for tomorrow. "There's a way to do it better—find it."— Thomas Edison Image: www.computerservicestoronto.com DIBOP Research
- 17. Contribution: Disrupted Disruptions stepping stones to the core disruption. Introduction Minicomputer to PC Objectives Methodology Results Conclusion …snuffed out early by competitors likely to be disrupted. DIBOP Research
- 18. Contribution: Why DI’s are Ignored. Introduction The mystery of listening to customers Objectives Methodology Results Conclusion The pit of financial projections Image: http://joi.org/ DIBOP Research
- 19. Research Answers Introduction How should Can DIBOP Objectives Can DI occur DIBOPs be at BOP? have impact on dealt with? Methodology top companies? Results Yes Conclusion AmbidextrousOrganization Yes ..not because it Business Model Rethinking is DIBOP but because it is a DI Portfolio Diversification DIBOP Research
- 20. Disruptive Innovation at the Bottom of the Pyramid Abayomi Baiyere & Jaspar Roos For a related blog post visit: http://goo.gl/ylP26 For the full research paper visit: http://goo.gl/u9JKU Twitter: @speak2ab @jasparroos Image: wisemarketing.files.wordpress.com