How Disruptive Startups Are Changing Enterprises
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How Disruptive Startups Are Changing Enterprises
By Dennis McCafferty -
Formidable Force
98% of survey respondents said new, competitive contenders are creating at least some form of disruption within traditional markets through data-driven, efficient and personal direct-to-customer business models–and 37% said the disruption is "severe." -
Admirable Qualities
67% of those surveyed said these new, global contenders are distinguished by their willingness to take chances, and 63% said they stand out for their vision and ambition. -
How Startup Disruption Benefits Customers
Easier "compare-and-pay" shopping: 59%, Increased access, availability and convenience to products/services: 49%, Lower costs and barriers to entry: 44% -
Industries Most Impacted by Startup Disruption:
Advertising, sales and marketing: 39%, Retail: 37%, Entertainment: 31%, IT solutions and services: 21%, Media: 21% -
Competitive Edge Factors Among the Disruptive Startups
Innovative business models: 79%, Agile, efficient operations: 54%, Superior digital and mobile word-of-mouth: 35%, Enlightened business practices: 33%, Access to growth capital: 18% -
Takeaways, Part I
56% of survey respondents said this disruption can teach them about better customer-centric thinking and insights, while 36% said it can help them adopt a willingness to fail and take non-traditional approaches. -
Takeaways, Part II
28% said the disruption can teach them how to disrupt status quo through tech innovation, and 23% said it can lend insights about enhanced speed-to-market using digital marketing platforms and channels.
A powerful combination of business and tech inventiveness and risk-taking among startups is forcing larger, established companies to redefine the way they do business, according to a recent survey from the BPI Network and Tech Mahindra. The report, "Startup Innovation Inspiring Business Transformation: How Disruptive Entrepreneurship Is Driving Corporate Renovation and Reinvention," reveals that these younger competitors are introducing bold, new strategies, greater agility and superior mobility practices while fueled by ready access to growth capital. Through big data, they digitally connect to consumers with social media to create more positive, personalized shopping experiences. All of which is driving bigger corporations to rethink and reinvent the way they engage. "Large enterprises are in fact learning from, and emulating, technology-savvy, fast-moving and opportunistic young competitors," according to the report. "Most notably by becoming more customer-centric in their thinking, by being willing to fail and take non-traditional approaches, as well as by disrupting the status quo through technology innovation." More than 250 global enterprise business leaders and innovators took part in the research.