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Purpose

The author addresses the looming question in the digital era: Can long-established firms adopt an existential mindset that enables them to survive and prosper?

Design/methodology/approach

Disruptors take advantage of significant changes in the traditional value drivers in an existing market. The success of long-established companies often inhibits innovation, and most mature organizations struggle to excel.

Findings

Greater reliance on controlled experiments can mitigate the failures of innovation based primarily on focus group research.

Practical/implications

Competitors can be transformed into collaborators in many parts of the value chain, and alliances are outperforming the more conventional business development approaches.

Originality/value

The author’s powerful message: Today’s leaders must adopt a new mindset in which bureaucracy is repudiated and responsiveness and adaptability are rewarded.

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