In 1975, Kodak developed the first digital camera. However, film was a huge revenue source for the company, and a digital camera would have dried up that revenue. So the prototype was place on the backburner for years until competition forced their hand to finally introduce to the marketplace. By then, the opportunity parade had passed by.
Amazon, however had a different philosophy. Whereas their service was selling books, they took the initiative to cannibalize their market short term for long term success. They seen the handwriting on the wall for print, and the advantages of e readers, so thus the Kindle was born. They also got a head start on their competition.
Blockbuster has a similar story. They created a national chain of video stores where their main product was renting videos where before consumers went to rent them from convenience stores, who provided them as only a part of their marketing plan, not primary one. When renting videos were a gold mine in the 80s and 90s, no one could see what technology could bring. Some even predicted the end of the movie industry as we knew it. So in 2000, a young start up called Netflix was presented as firm to be bought, Blockbuster executives declined their offer. Online movies could hurt the infrastructure invested by Blockbuster, so they ultimately declined.
The moral is technology goes on with or without us. We cannot hold it back, no matter how big we are. Beware of the hungry young dropout in their garage with burning ambition and know how. It is where the next revolution will begin.
Amazon, however had a different philosophy. Whereas their service was selling books, they took the initiative to cannibalize their market short term for long term success. They seen the handwriting on the wall for print, and the advantages of e readers, so thus the Kindle was born. They also got a head start on their competition.
Blockbuster has a similar story. They created a national chain of video stores where their main product was renting videos where before consumers went to rent them from convenience stores, who provided them as only a part of their marketing plan, not primary one. When renting videos were a gold mine in the 80s and 90s, no one could see what technology could bring. Some even predicted the end of the movie industry as we knew it. So in 2000, a young start up called Netflix was presented as firm to be bought, Blockbuster executives declined their offer. Online movies could hurt the infrastructure invested by Blockbuster, so they ultimately declined.
The moral is technology goes on with or without us. We cannot hold it back, no matter how big we are. Beware of the hungry young dropout in their garage with burning ambition and know how. It is where the next revolution will begin.
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