Chapter 11 Flashcards
(19 cards)
Industry life cycle
Supply side equivalent of the PLC,it is likely to be of longer duration than that of a single product
2 factors that drive industry evolution
Demand growth + production and diffusion of knowledge
Dominant design
Product architecture that defines the look,functionality and production method for the product and becomes accepted by the industry as a whole
Network effects
The need for users to connect in some way with one another,cause each customer to choose the same technology as everyone else to avoid being stranded
Organizational ecology
Analyzes the population of industries and the processes of founding and selection that determines entry and exit
De novo entrants
Startyp companies
De alio entrants
Established firms
Barriers to change
Org.routines,social and political structures,conformity,limited search,complementarities between strategy,structure and systems
Org.routines
Patterns of coordinated interaction aming org.members that develop through continual repetition
Competency traps
Core capabilities become core rigidities
Institutional isomorphism
Locks organizations into common structures and strategies that make it difficult for them to adapt to change
Satisficing
The propensity for individuals to terminate the search for better solutns when they search a satisfactory level of performance tather than to pursue optimal performance
Selection mechanism
Process in which organizations whose characteristics match the requirements of their environment can attract resources,those that do not are eliminated
Evolutionary economies
Focuses upon individual organization as the primary agents of evolution,take place at the level of organization routine
Sustaining technology
Augments existing performance attributes
Disruptive technology
Incorporating different performance attributes than the existing technology
Organizational development (OD)
Set of methodologies through which an external or internal consultant acts as a catalyst for systematic change within a team or org.unit
Dual strategy
How a company manages its existing activities while also nurtuting new initiaves will form the basis for its business in the future
Scenario analysis
Systematic way of thinking about how the future might unfold that builds on what we know about current trends and signals.can be qualitative(take form of narratives and useful in insight and imagination of decision makers) or quantitative(models events and runs simulations to identify likely outcomes)
