Seminar (Dept. of General Management)

Title: Demand shocks and disruptive innovation: Fintech competition during the Covid Pandemic

Speaker: Weiguo Zhong (Guanghua School of Management, Peking University University)

Time: 10:00am, May 16th (Thursday), 2024

Venue: Room1007, Mingde Business Building

Language: Chinese/English

ABSTRACT:

Drawing on demand-based view (DBV), our study investigates the impact of shifts in consumer preferences on the competition between incumbents and disruptors. Specifically, we analyze dyadic competition in the Apple Store context between traditional credit card apps (incumbents) and FinTech apps (disruptors). In the context of the Covid Pandemic, we find that FinTech apps are more adept at penetrating markets traditionally dominated by credit card apps and are more successful in attracting their user base. Additionally, we discover that the structure of the user base exerts asymmetric effects on incumbents and disruptors during this competitive process. This study highlights the significance of customer structure in disruptive innovation and enhances our understanding of the dyadic competition between incumbents and disruptors.