First to Mkt? No so fast

In the current environment where innovation is imperative to survival in most consumer packaged goods markets, should innovation be the goal/end-game? History shows that the landscape of branded products is littered with innovators who lost out to late-comers. I was quite shocked to find out that diapers was not invented by P&G and even as early as the late 70's it was not even a player in that segment. Same with the video cassette recorder, online music (Napster), ball point pens etc..

Its safe to assume that for a company that creates a new market through an innovative product, it has the vision, managerial persistence, financial commitment, an innovative culture and an ability leverage assets available to them to compete effectively (Tellis et al). Various reasons have been given for why a lot of these innovators fall off, the emergence of a disruptive technology (Clayton M. Christensen) being the most prominent among them.

I think Andy Grove gets it in his mantra that "only the paraniod survive". I think managing a culture of "paranoia" in a market leading company or brand team in addition to the established must do's will maintain. Why a culture of "paranoia"?
- Creates a constant sense of urgency
- Take all competitors big or small seriously
- Relentless pursuit of excellence

These are my thoughts.. what do you think?