--%>
Assignment Help - homework help

Creative destruction

Describe meaning of the term “creative destruction”?  How does the emergence of MP3 (iPod) technology relate to this idea?

E

Expert

Verified

Creative destruction refers to the procedure by which the creation of new products and production techniques destroys the market positions of firms committed to generating only existing products or by using outdated methods. The capability to download and store a great number of songs, and the superior quality of MP3 is causing a decline in the CD industry, just as CDs once replaced cassette tapes, which had beforehand replaced phonographs (records).

   Related Questions in Finance Basics

  • Q : The official unemployment rate Normal 0

    Normal 0 false false

    		•
  • Q : Explain Detailed Budget Adjustments

    Detailed Budget Adjustments: Department Detailed Budget Adjustments are comprised in department budget displays to give the reader a snapshot of proposed expenses and position adjustments in the department, why tho

    		•
  • Q : Define Budget Budget : It is a plan of

    Budget: It is a plan of operation stated in terms of financial or other resource necessities for a particular period of time.

    		•
  • Q : Define Performance Budget Performance

    Performance Budget: A budget in which proposed expenditures are prepared and tracked mainly by measurable performance objectives for actions or work programs. The performance budget might also incorporate other bases of expenditure categorization, lik

    		•
  • Q : Increased common stock cash dividend

    Do you trust an increased common stock cash dividend can send any signal to the common stockholders? If so, what signal might it send? An increase in cash dividends is frequently seen as a positive signal. A company would be unlikely to raise

    		•
  • Q : Describe security Normal 0 false false

    Normal 0 false false

    		•
  • Q : Can a corporation contain too much

    Can a corporation contain too much working capital? Describe. A firm can contain too much working capital if this is losing the chance to invest in high returning fixed assets and if this goes beyond the amount of working capital required for r

    		•
  • Q : Question on level of free market wage

    In the year of 1996, the U.S. Congress raised the minimum wage from $4.25 per hour to $5.15 per hour. Some of the people suggested that a government subsidy could help employers finance the higher wage. Assume the supply of low-skilled labour is specified by

    		•
  • Q : Excess reserves Normal 0 false false

    Normal 0 false false

  • Q : Define Cost-of-Living Adjustments

    Cost-of-Living Adjustments (COLA): Increases offered in state-funded programs which comprise periodic adjustments predetermined in state law (statutory, like K-12 education apportionments), or established at optional levels (that is discretionary) by

    		•