Table of Contents
Chapter 1: Why Incumbents Fail
Why Incumbents Fail to Innovate Unrelentingly
Culture as a Primary Explanation
Chapter 2: Willingness to Cannibalize Successful Products
Why Incumbents Are Reluctant to Cannibalize Products
Why Willingness to Cannibalize Is Important
Challenge of Technological Change
Understanding Technological Evolution
Blinded to an Opportunity: Microsoft Keywords?
Crippled by Fear of Piracy: Sony MP3 Player
Decline of an Innovator: Eastman Kodak
A Cycle of Cannibalization: Gillette's Innovations in Wet Shaving
Sources of Risk: Innovation's High Failure Rate
The Reflection Effect: Asymmetry in Perceived Risk
The Hot-Stove Effect: Learning from Failure
The Expectations Effect: Hope Versus Reality
Innovation's Gain-Loss Function: Type 1 and 2 Errors
Gambling on an Embryonic Market: Toyota's Prius
Gambling on Growth: Amazon.com
Gambling on Scale: Federal Express
Chapter 4: Focusing on the Future
Predicting and Managing Takeoff
Predicting Technological Evolution
Chapter 5: Incentives for Enterprise
Traditional Incentives: Winning Loyalty
Asymmetric Incentives: Turning Failure into Success
Making Incentives Work: Economics and Psychology of Incentives
Power of Incentives: IBM's Transformation
Incentives for Enterprise: Google
Incentives for Loyalty: General Motors
Structuring Team Incentives: IBM's Learning from Online Gamers
Chapter 6: Fostering Internal Markets
Chapter 7: Empowering Innovation Champions
Luck Versus Innovation Champions
Champions at the Top Versus the Bottom
Distributed Champions: Google's “Young Turks” Program
Championing Mass Market of the Future: Tata Nano
Championing a Music Revolution: Apple iPod
Mobilizing an Organization for Innovation: Sony Walkman
Chapter 8: Culture Versus Alternate Theories: Arguments and Evidence