In the orthopedic industry's push for innovation and differentiation, a prevailing storyline suggests that Big Ortho companies stumble due to being disconnected or poorly managed.
Wrong! That’s off the mark.
In reality, Big Ortho is guided by sharp, rational leaders making calculated moves. This view overlooks a key element of corporate strategy: the innovation dilemma.
Allow me to unpack why, if I were leading a Big Ortho company, I’d likely make the same calls.
Protecting Existing Customers and Revenue
The primary concern for Big Ortho is the impact on their current customer base and revenue streams. Introducing a radical innovation might alienate loyal customers, upset established business relationships, or even cannibalize their own products. For instance, a company known for its combustion engine vehicles might hesitate to fully embrace electric vehicles if it means potentially losing a significant portion of their market.
The Comfort of Established Systems
Big Ortho finds itself at a crossroads where innovation could disrupt their current operations. The reason many big companies don't leap into new technologies or business models isn't always due to negligence or incompe...
