Skip to Main Content
HBS Home
  • About
  • Academic Programs
  • Alumni
  • Faculty & Research
  • Baker Library
  • Giving
  • Harvard Business Review
  • Initiatives
  • News
  • Recruit
  • Map / Directions
Faculty & Research
  • Faculty
  • Research
  • Featured Topics
  • Academic Units
  • …→
  • Harvard Business School→
  • Faculty & Research→
Publications
Publications
  • Summer 2018
  • Article
  • MIT Sloan Management Review

Why High-Tech Commoditization Is Accelerating

By: Willy C. Shih
  • Format:Print
ShareBar

Abstract

Knowledge embedded within state-of-the-art production and design tools is a powerful force that is leveling the global technology playing field. It democratizes innovation and makes future competition more challenging. This paper describes the knowledge flows through production and design tools, and it suggests that the increasing level of abstraction is enabling new players to innovate without understanding how the technology building blocks they are using actually work inside. This suggests that there are new rules of competition, where firms should move beyond commoditized parts and focus their differentiation strategies.

Keywords

Product Design; Product Commercialization; Product Development; Product Development Strategy; Production; Manufacturing Tools; Manufacturing; Manufacturing Industry; Engineering; Globalization; Goods and Commodities; Knowledge; Commercialization; Business Strategy; Corporate Strategy; Information Infrastructure; Technology Adoption; Consumer Products Industry; Auto Industry; Semiconductor Industry; Electronics Industry; Industrial Products Industry; Information Technology Industry; North America; Asia

Citation

Shih, Willy C. "Why High-Tech Commoditization Is Accelerating." Art. 59420. MIT Sloan Management Review 59, no. 4 (Summer 2018): 53–58.
  • Find it at Harvard
  • Register to Read

About The Author

Willy C. Shih

Technology and Operations Management
→More Publications

More from the Author

    • November 15, 2022
    • Harvard Business Review Digital Articles

    What Really Makes Toyota’s Production System Resilient

    By: Willy C. Shih
    • October 21, 2022
    • Harvard Business Review Digital Articles

    Climate Regulations Are About to Disrupt Global Shipping

    By: Willy C. Shih
    • August 1, 2022
    • Wall Street Journal

    The Supply Chain, Explained

    By: Willy C. Shih
More from the Author
  • What Really Makes Toyota’s Production System Resilient By: Willy C. Shih
  • Climate Regulations Are About to Disrupt Global Shipping By: Willy C. Shih
  • The Supply Chain, Explained By: Willy C. Shih
ǁ
Campus Map
Harvard Business School
Soldiers Field
Boston, MA 02163
→Map & Directions
→More Contact Information
  • Make a Gift
  • Site Map
  • Jobs
  • Harvard University
  • Trademarks
  • Policies
  • Accessibility
  • Digital Accessibility
Copyright © President & Fellows of Harvard College