The_Innovators_Dilemma__Clayton

1970).
3. The use of the term systematic in this sentence is important, because most resource allocation
systems work in a systematic way—whether the system is formal or informal. It will be shown later in
this book that a key to managers’ ability to confront disruptive technology successfully is their ability
to intervene and make resource allocation decisions personally and persistently. Allocation systems are
designed to weed out just such proposals as disruptive technologies. An excellent description of this
dilemma can be found in Roger Martin, “Changing the Mind of the Corporation,” Harvard Business
Review, November–December 1993, 81–94.
4. Because of slow growth in steel demand in many of the world’s markets, fewer large integrated steel
mills are being built in the 1990s. Those integrated mills that are being built these days are in highgrowth,
rapidly developing countries such as Korea, Mexico, and Brazil.
5. Professor Thomas Eagar of the Department of Materials Science at the Massachusetts Institute of
Technology provided these estimates.
6. “The U.S. Steel Industry: An Historical Overview,” Goldman Sachs U.S. Research Report, 1995.
7. “What Caused the Decline,” Business Week, June 30, 1980, 74.
8. Donald B. Thompson, “Are Steel’s Woes Just Short-term,” Industry Week, February 22, 1982, 31.
9. Gregory L. Miles, “Forging the New Bethlehem,” Business Week, June 5, 1989, 108–110.
10. Seth Lubove and James R. Norman, “New Lease on Life,” Forbes, May 9, 1994, 87.
11. The experience of the team at U.S. Steel charged with evaluating continuous thin-slab casting
technology is chronicled in the Harvard Business School teaching case “Continuous Casting
Investments at USX Corporation,” No. 697-020.
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