Opinion: Why disruption is the most abused business word now

Photo credit: Pixabay.

Everybody is talking about how disruptive technologies are transforming our business landscape, from self-driving cars, remote-controlled smart homes, to the “uberization” of everything.

Judging by how fast disruptive companies are growing, it does seem scary. After all, no company wants to be the next Kodak, Tower Records, or Nokia. And we all know how difficult it is for retrenched workers in a traditional business to get a new job.

Unfortunately, disruption is fast becoming the next dot-com. I see many entrepreneurs use it like a buzzword. Nursing their pet technologies, they claim that they are ready to disrupt their competitors or their industry without the faintest idea of how they wish to do it.

Here are some of the most common myths about disruption:

1. Killing industry giants

Many tech startups have their eye on huge and mature markets that are filled with giant incumbents. Their founders wish to be the next Amazon, Google, or Facebook, unveiling a revolutionary way to beat the entrenched competition. They wish to be a David in a world of Goliaths.

The problem with such an approach is that it makes companies focus purely on what the existing companies are doing well or wrong rather than what their customers truly want or need. It also results in the creation of many “me-too” businesses that focus on building a better mousetrap and trying to out-innovate incumbents for its own sake.

2. Building a great app

Everybody is using an app these days, so why not build one that will revolutionize the industry?

Well, according to Statista, there are a staggering 2.2 million apps on Google Play Store and 2 million on Apple App Store. Just look at this chart:

Photo credit: Statista.

Now, take a look at your smartphone. How many apps do you have there and how many do you even use on a regular basis?

While mobile apps have certainly transformed how we do business transactions, you need to know that not all apps succeed. In fact, the majority of the most downloaded and used apps belong to either Google or Facebook.

3. Betting on big data

4. Fixating on the latest technology

5. Novel “Blue Ocean” innovations

6. Scaling and growing fast

Whither disruption would go?