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Thursday, February 11, 2010

Disruptive innovator

Disruptive innovator

Tata Motors' Rs 1-lakh car has the potential of being a disruptive innovation. And disruptive innovators are viewed with a mix of both anticipation and trepidation because they change competition benchmarks and therefore while they create a new opportunity they also have the potential to cause the demise of some existing players.

According to Robert Bosch, a German firm that is the world's largest supplier of automotive components, between now and 2010, globally the small car market will grow at 5% p.a. which is twice the rate of growth of the industry as a whole.

A disruptive innovator in the industry's most dynamic market segment -- not surprising then that Tata Motors' new offering has evoked so much interest among industry majors

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