Amazon Quote by Brad Stone
““By that time, Bezos and his executives had devoured and raptly discussed another book that would significantly affect the company’s strategy: The Innovator’s Dilemma, by Harvard professor Clayton Christensen. Christensen wrote that great companies fail not because they want to avoid disruptive change but because they are reluctant to embrace promising new markets that might undermine their traditional businesses and that do not appear to satisfy their short-term growth requirements. Sears, for example, failed to move from department stores to discount retailing; IBM couldn’t shift from mainframe to minicomputers. The companies that solved the innovator’s dilemma, Christensen wrote, succeeded when they “set up autonomous organizations charged with building new and independent businesses around the disruptive technology.”9 Drawing lessons directly from the book, Bezos unshackled Kessel from Amazon’s traditional media organization. “Your job is to kill your own business,” he told him. “I want you to proceed as if your goal is to put everyone selling physical books out of a job.” Bezos underscored the urgency of the effort. He believed that if Amazon didn’t lead the world into the age of digital reading, then Apple or Google would. When Kessel asked Bezos what his deadline was on developing the company’s first piece of hardware, an electronic reading””
About This Quote
Source Book: The Everything Store by Brad Stone, 2013
Christensen argues that successful firms must create independent units to explore disruptive technologies, otherwise they risk being overtaken by rivals.
In simple terms: Big companies need separate teams for new markets.
Create autonomous groups for innovation.
Themes
Mood
Type
When to use this quote
- launching new products
- digital transformation
- startup spin‑offs
Key Concepts
Questions to Reflect On
- How can a company protect its core while fostering disruption?
- What incentives keep autonomous teams aligned?
May clash with existing corporate culture and resources.