Innovation has always been a challenging and risky business. These days, it is getting harder and harder for many companies to compete, escaping the forces of commoditization, as manufacturing spreads around the world to lower-cost regions. With the increasing flow of knowledge and information, largely spurred by the proliferation of the Internet and enabled by technology, product life span is shortening.
As new products come to market with increasing frequency and take valuable market share, more and more companies are finding it increasingly challenging to keep up and compete. Product life span is further shortened by customers’ increasing demands for products and services customized or tailored to fulfill their needs better. The combination of these undeniable forces creates a commodity trap, an often perilous phenomenon that pulls at even the most innovative and successful companies.
To read the original article: Innovation Excellence | Open Services Innovation
