The
article looks at the automobile industry, assessing whether electric car
company Tesla represents an example of the concept of disruptive innovation. It
describes the concept, originated by business scholar Clayton Christensen, and
outlines criteria that define a disruptive innovation in areas including the
product's intended market, its performance improvements, and the challenge it
poses to incumbent firms in the industry. It summarizes the analysis of Tesla
carried out by business researcher Tom Bartman and colleagues, who concluded it
does not meet those criteria. It suggests that the neighborhood electric
vehicles (NEV), similar to a golf cart, may disrupt the car industry. A sidebar
offers a brief interview with vehicle manufacturer Polaris chief executive
Scott Wine.