Innovative companies overwhelming older companies

- Management-Dhawal Mehta

- After making a new invention, if a company does not continuously improve or change the product, other companies enter the competition and take over the market.

e. S. In 1981, computers and their accompanying printers almost destroyed the industry (Underwood, Olivieri, Remings, etc.). A few years from now, typewriters will be found only in Murrium. New inventions have destroyed the market for older products. What we call the typewriter was not invented in Britain but in America about 150 years ago in the 1870s. As far back as 1714, English engineer Henry Miller even patented the typewriter, which he named the writing engine. But the record of what the writing engine was like and how it worked has been lost, so he is not credited with inventing the typewriter.

In 1829, William Bate, a very elementary level typewriter living in the state of Michigan, who he called a typographer, invented his invention, which was not very complicated and practical. So this invention of his was not considered by anyone in his time. The credit for the invention of the typewriter goes to Christopher Latham Scholes of Milwaukee, America, and his patent registered in 1869 was bought by the American Remington Company in 1870 and put it on the market by making many changes to his patented typewriter. The speed of a typewriter is faster than a human can write. The invention of the typewriter and the invention of stenography created not long but millions of typist-stenography jobs in almost all the major offices of the world. In America Twenty years after the introduction of the typewriter in 1890, there were 33,000 typists and stenotypists working.

Is. In 1900 that number increased to 1,34,000, in 1910 it increased again to 3,87,000 and in 1920 there were 7,86,000 typists and stenotypists working in American offices, and in the 1960s this number increased significantly. It greatly benefited women as most of the typists were women. After 1920, offices all over the world were filled with the tap, tap, tap, tap sound of typists and a large number of women started working in offices (in 1920, 92 percent of them were female typists). The work in the factory started to be done by machines. But these elementary typewriters could only type capital letters of the English language because their keyboards had no keys. The Remington Company made several improvements to the typewriter. It became the number 1 company in the typewriter market and dominated the typewriter market worldwide. Jobs as typists in America and Europe were almost monopolized by women. Remigton Company's first typewriter model was called Calligraph Yost which could only type English capital words.

As seen above, there was no shift key, then in 1881 came his calligraph number 2 in which the shift key (Champ) was introduced so that the first and second letters of ABCD in English also started to be typed. Scientific American magazine said that E. Fifty thousand typewriters were working in America in 1886. Is. By 1909, 89 companies were established to manufacture and sell typewriters in America. The Remigton Company was the pioneer (original manufacturer) in the production and sale of typewriters. Then the Remigton Company was overtaken by the Underwood Company with its new models of typewriters.

By 1920, the Underwood Company had broken all sales records for typewriters and exceeded all of its competitors combined. Ultimately only four companies out of 89 survived in the typewriter market. Underwood, Remington, Royal and L.C. Smith & Brothers which later merged with Corona Company. The dynamics of marketing are strange. Samsung and Apple have taken the place of Finland's Nokia company, which was once the king of mobile phones.

Is. In 1933, a small company called Electrostatic Typewriters Incorporated, producing and selling typewriters, was bought by an American company called IBM (International Business Machines). It was a time of terrible depression which lasted from 1929 to 1938. Is. The Second World War that started in 1939 saved America. But during the Depression, many typewriter manufacturers disappeared from the market.

The American company IBM was not in the business of typewriters. His machines were then for accounting and tabulation. The research and development department of this company was strong. He made several improvements to the old electric typewriters and brought the electric typewriter to the market. It was so successful that in AD In 1967, IBM Corporation captured 60 percent of the electric typewriter market, while Smith Corona Royal and Polivary-Underwood each held only 10 percent of the electric typewriter market. The Remington company, once the undisputed king of the typewriter market, was no longer counted in the market. In all of these, the IBM Magnetic Tape Electric Typewriter launched in 1964 incorporated the invention of the electric typewriter as well as digital computing technology so that editing of sentences written on the typewriter was possible. It marginalized the standard electric typewriters found in the market.

He created the Office of the Future. A word processor and micro chips were integrated in this typewriter. In 1986, word processors became the dominant typewriters, selling 4 million word processors in America alone. But after IBM Corporation launched the Personal Computer in 1981, Personal Computers became so 'popular' that the era of word processors and typewriters ended in the 21st century. Personal computers began in the 1970s as kits (arrangements for connecting different parts) and were sold in kit form in 1976-1977. But as mentioned above, IBM Corporation introduced the era of personal computers in the world by launching the IBM PC Junior in 1981 and the world changed. In English this is called The Rest is History.

What can we learn from the above case study of typewriters?

(1) A company that innovates in a market enjoys the benefits of initial 'first entry'. (2) Many new companies are created following that invention. (3) The early innovating firms and their competitors make several product improvements but most of them disappear from the market. (4) Breakout company enjoys market empire. Because it integrates two or more different technologies. E.g. IBM company combined mechanical technology and integrated processing technology. (5) Competitors design different models to sell their goods but in the end only one dominant design succeeds.

This is seen not only in the case study above but also in cars, calculators, washing machines, air conditioners, toasters, freezers, microwave ovens, cameras, shaving blades, microscopes and many diagnostic tools in the medical field. All this has been achieved after the R&D departments of the companies have integrated many different technologies. Where is the once unbeatable Kodak company in the field of photography today? Economist Schumpeter named creative destruction, which has become a very famous and oft-quoted metaphor in the world of innovation, to create and destroy old creation.