Large established firms use R&D labs to create competence-destroying new technologies which make old technologies and products obsolete.

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Large established firms invest heavily in research and development (R&D) labs to create innovative, cutting-edge technologies that have the potential to make their existing products and technologies obsolete. This is a way for them to maintain their competitive advantage and stay ahead of the curve. By constantly pushing the boundaries of what is possible, these firms can disrupt entire industries and gain a significant market share. This phenomenon is often referred to as disruptive innovation, and it has become a key strategy for many successful firms in today's rapidly changing business environment.

Large Established Firms Use R&D Labs to Create Competence-Destroying New