A viable business model is crucial for the successful commercialisation of disruptive technologies. The cloud computing industry provides an ideal example for exploring how various elements of a business model contribute to a product's success (or failure). We examine how Amazon.com, Salesforce.com and Siebel responded to the disruptive power of the cloud computing technology. Our findings suggest disruptive technology per se is not the reason for the collapse of large corporations, but rather the failure to adapt or create new business models to incorporate novel technology. Our findings have direct implications for strategic managers and entrepreneurs seeking to leverage disruptive technologies through the right business model.
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