ADMS 2400 Study Guide - Final Guide: Dominant Design, Toothpaste, Corporate Social Responsibility
22 Feb 2018
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The industrial lifecycle model: it has 4 stages: Stage #1: introduction: new industries appear when technological/regulatory changes happen. Example: self-driving cars, drones it needs lots of resources and development: some people are willing to pay a premium to have something nobody else does lack of legitimacy, is it safe, small competition, high degree of innovation. Stage #2: growth: legitimacy has been accepted so now it is growing. Uber, growers of medical marijuana in canada: dominant design (innovation keeps improving, shakeout, firms exiting because their product might not be doing so well, product appear to the wider market, for example; computers. Teenagers now use computers more than they use typewriters: economies of scale, thus prices are lower, more competition appears, and the sales are growing. Stage #3: maturity: when industry becomes to slow down. It is something that had been around for a very long time.
