Focus is scary—until you realize that it only means turning your back on markets you could never have anyway. Sharp focus on jobs that customers are trying to get done holds the promise of greatly improving the odds of success in new-product development.

If you study the root causes of business disasters, over and over you'll find this predisposition toward endeavors that offer immediate gratification.

History is littered with great firms that got killed by disruption. Of course, the personal computer, a technology that first took root as a toy, got Digital Equipment Corporation. Kodak missed the boat for a long time on digital imaging. Sony was slow to get MP3 technology. Microsoft doesn't know what to do with open source software. And so on.

In the first stage of insight-building, all that researchers can do is observe phenomena. Second, they classify the phenomena in a way that helps them simplify the apparent complexities of the world so they can ignore the meaningless differences and draw connections between the things that really seem to matter. Third, based on the classification system, they propose a theory. The theory is a statement of what causes what and why, and under what circumstances.

One reason there are so many short-lived management fads is that their prescriptions were derived and advocated in precisely this way. So managers read about a fad and try it, find that it doesn't work, abandon the effort, and move on to the next thing. In reality, it is usually the case that the faddish prescription was indeed sound advice in certain circumstances, but actually was poor advice in other circumstances.

The reason why it is so difficult for existing firms to capitalize on disruptive innovations is that their processes and their business model that make them good at the existing business actually make them bad at competing for the disruption. Companies in fact are specifically organized to under-invest in disruptive innovations! This is one reason why we often suggest that companies set up separate teams or groups to commercialize disruptive innovations. When disruptive innovations have to fight with other innovations for resources, they tend to lose out.

Innovation almost always is not successful the first time out. You try something and it doesn't work and it takes confidence to say we haven't failed yet. Ultimately you become commercially successful.