Managing technological innovation and sustaining competitive advantage in the digital imaging industry

Abstract

The emergence and adoption of a disruptive technology that replaces an existing industry platform not only has enormous implications to incumbent firms, but also creates business opportunities that is enabled by the newly adopted technology. Firms competing in such an evolving and dynamic industry face great management challenges in its product's technological innovation process. Furthermore, defining strategies to sustain its competitive advantage through the market evolution by transitioning to the new platform is a non-trivial management task. This thesis focuses on the digital imaging industry that consists of input/output/storage devices as well as related software and services. This thesis will -- describe the evolution, transition, and competitive/collaborative environment of the consumer photography industry, both analog and digital, by way of value chain analysis, -- identify current trends that is shaping the digital imaging industry and the challenges it faces, -- explore key factors that influence the expansion of digital imaging, focusing on two platform technologies, specifically the image data format and removable memory card format, -- discuss the strategic implications for a new format to be introduced in a fast growing industry and its diffusion strategies, and -- establish a basis to allow firms to address the industry challenges in order to sustain its competitive advantage.