Skip to content

Flipboard Friday: Beyond Disruption Book Review

Source: https://www.wte.net/Blog/May-2023/Flipboard-Friday-Beyond-Disruption-Book-Review
Date: May 2023
Author: Martin W Smith

Overview

The post reviews "Beyond Disruption: Innovate and Achieve Growth without Displacing Industries, Companies, or Jobs" by W. Chan Kim and Renée Mauborgne, positioning it alongside "Blue Ocean Strategy" as essential reading.

Nondisruptive Creation Framework

The authors present three growth models:

  1. Disruptive Growth — Breakthrough solutions that displace industries, jobs, and regulations (example: air travel replacing ocean voyages)

  2. Blue Ocean Strategies — Redefining industry problems and solving new iterations (Cirque du Soleil merged theater and circus, eliminating traditional circus costs)

  3. Nondisruptive Growth — Creating opportunities beyond existing industry boundaries (Square's payment processing for underserved merchants)

Square/Block Case Study

The post analyzes how Square democratized financial services through:

  • Accessibility for small vendors previously excluded from payment processing
  • Continuous innovation (Capital loans, Cash App)
  • Digital transformation enabling online and mobile transactions
  • Financial inclusion through peer-to-peer services
  • SMB empowerment via bundled services (payroll, marketing, scheduling)

The Disruption Myth

The review critiques cultural obsession with disruption, noting that "brilliant iconoclastic disruptors" (Zuckerberg, Musk, Dorsey) overshadow the collaborative teams behind them. Disruptive models face regulatory backlash and competitive resistance, unlike nondisruptive innovation, which creates new markets without threatening incumbents.

Three Characteristics of Nondisruptive Creation

  1. Technology isn't required (Music: Not Impossible serves deaf communities)
  2. Works across all geographies and economic levels
  3. May be disruptive in one context but nondisruptive in another

Examples Listed

Square/Block, GoPro, Liquid Paper, Post-It Notes, Podcasts, E-Books, Peloton, Virtual Reality

Conclusion

The author encourages startups to carefully evaluate which growth model aligns with their vision, noting that nondisruptive creation, while less glamorous, offers sustainable pathways to success.