DURABILITY VULNERABILITY VOLATILITY VIABILITY Industries in the period of In the period of Vulnerability, In the period of Volatility, old In the Viability period, Durability demonstrate acute weaknesses in sources of industry strength embryonic or reborn broad resilience and achieve industries, from a lack of become weaknesses, as industries try to sustain high consistent performance, innovation to insufficient large disruptors enter to rates of innovation and enjoy while disruptors remain a investment, become unlock new sources of value. only short-lived competitive distant threat, for now. But apparent. It is in this period Most companies focus on advantage as new disruptors instead of purely sustaining where incumbents benefit resolving pressing issues in constantly emerge. Here the the status quo, this is the from the continued the core business; what’s opportunity lies not only in period where companies presence of high barriers to much harder is redirecting growing the core business by have a great opportunity to entry; instinctively many rely investment capacity to grow offering new products in seek and experiment with on these defenses to fend new businesses. existing markets, but also in new business ideas. off disruption. This blind expanding the footprint of spot distracts many from a existing products to new great opportunity: scaling up markets. new ideas and venturing into new markets. 6 BREAKING THROUGH DISRUPTION