Pink mustaches, or, disruptive technologies meet the freeways of LA

All opinions are my own and do not necessarily reflect those of Novo Nordisk.

A recent article in the New York Times described the rise of rideshare services in cities across the US.  One of the more visible is Lyft, whose trademark is a happy, pink, fuzzy mustache attached to the front grill of a car for ridesharing.  The article described the conflict that’s going on between established taxi companies and this new kind of service which generally costs less than a taxi and is largely reliant on smartphone apps to match riders with drivers.

Since I’ve been reading Clayton Christensen’s The Innovator’s Dilemma, I thought it would be fun to try and frame these new transportation options in terms of his theories on sustainable versus disruptive change.  I believe the disruptive technology in this case is the ubiquity of smartphones and apps for connecting customers and vendors in decentralized ways versus central dispatching.  I think the situation qualifies as an emerging example of an innovator’s dilemma in a couple of ways. Continue reading