An Evaluation of Disruptive Innovation in the Automobile Production Industry: Quantitative Research

Abstract

This study undertakes an assessment of disruptive innovation within the automobile production industry, aiming to uncover implementation challenges and opportunities. Recognizing the pivotal role of disruptive innovation in driving economic growth and sustainability within the automotive sector, this research addresses a notable gap in the literature pertaining to the relationship between disruptive innovation and firm performance. Through a quantitative research methodology, employing an exploratory research design, data were gathered from 99 industry professionals via an online survey hosted on LinkedIn. Analysis of the collected data was conducted using SPSS Statistical Software, facilitating both descriptive and inferential analysis. The findings reveal that disruptive innovation indeed facilitates new market creation, cost-effectiveness, customer-centricity, and the development of unique capabilities. However, challenges such as staff capacity constraints, financial pressures, rapid pace of disruption, and regulatory ambiguity impede its efficacy. Moreover, the study highlights the significant impact of deployment costs and regulatory standards on the effectiveness of disruptive innovation in fostering new market creation and achieving cost-effectiveness.