Disruptive Value Creation in Business : A Case Based Analytical Study to Understand the Potential Impact of Disruptive Value on Competitive Forces

In the past two decades, the fundamental way of conceiving and executing business ideas has undergone radical transformation. Today, it is practically impossible to think about businesses without digitally empowered core and peripheral processes. The sustainability of any business primarily depends on the value created by the business for its customers. The uniqueness of the value achieved through differentiation, makes a product appealing to its customers in spite of availability of abundant choices. Nonetheless, there has been a tendency to associate innovation or uniqueness to only end products which are visible to the customers. But there is certainly no reason to restrict the concept of value creation to only end products and not attribute it to processes and methods which have created it. Thus, value creation for end customers is the function of an effective orchestration of various elements in a value chain. Sustainability is now an outcome of the capability to continuously create and build novel and compelling value propositions for customers through optimization of resources present in the value chain of the organization in a highly uncertain environment. The study explores the potential impact of disruptive value creation on competitive forces enlisted by Michael Porter. It has been conducted in two distinctive and sequential stages. The first stage includes identification of primary and supporting value chain elements, developed by Michael Porter, for the technologically disruptive businesses and incorporating them into the framework. The second stage critically examines the impact of these disruptive value chain elements on the five forces. The insight gained out of this research is expected to build clarity and preciseness for taking decisions pertaining to building a sustainable competitive advantage (SCA)