Disruptive innovations
A)are created exclusively by start-up companies.
B)can create new industries or destroy old ones.
C)create oligopolies.
D)are always based on sophisticated advances in technology.

Question

Quizplus · Accepted Answer

Disruptive innovations are defined as new products or services that create a new market or significantly alter an existing market. They often start as low-end or niche offerings, but eventually, they capture a considerable market share and displace established market leaders. This can create new industries or destroy old ones, making option B the correct answer. Start-up companies are often associated with disruptive innovations, but they are not the only source. Disruptive innovations are not confined to any specific technology level or type of company, so options C and D are also incorrect.

Disruptive Innovations