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Why car companies should fear the golf cart

@EQUITYMATES|7 November, 2022

If you’re going to read one business article this week, make it this one. The way that it weaves in the theory of business disruption, from the classic book The Innovators Dilemma, and applies it to the modern market for cars makes for a fantastic read. And it has made us think about micromobility (eBikes, scooters etc.) in a whole different way.

The Innovators Dilemma was written in 1997 by Harvard professor Clay Christensen. It sought to answer why well-managed companies that listen to their customers and invest in research and development still lose market dominance. It coined the term ‘disruptive innovation’ and has become a must-read for C-suites ever since.

This article takes the lessons from Christensen’s book and applies it to the car market today. And the conclusion is that Tesla isn’t a disruptive threat (instead, it is sustaining innovation). Rather the disruptive threat is micromobility – eBikes, scooters, and even golf carts. If you disagree with that sentence, take the time to read the article. It is an interesting one to think through. 


This is an excerpt from our Thought Starters email. Once a week we send you 5 interesting articles that have caught our attention, to get you thinking. No spam, we guarantee.

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