Market Risk is what you assume when you effectively create a new market, by identifying a need that is not being met and creating the product or service that addresses this need. If there are customers, you are then favoured to own the market. This is what Netflix did when it spotted the opportunity to deliver videos cheaply and directly to consumers’ homes, eventually forcing Blockbuster to adopt the same modus. But by then it was too late for the latter to succeed. It had been ‘netflixed’. What had been a market risk for Netflix, became a competitive risk for Blockbuster, and research tells us that market risk is, well, less risky, than competitive risk.
In fact, your odds of success are six times higher and the revenue opportunity 20 times greater with market risk, says Whitney Johnson. “Despite our love affair with the certainty of competitive risk, the natural world, business research, and brain science all tell us that trying something new is less risky and ultimately more satisfying,” says Johnson.
So for an individual this is leaving a ‘safe’ corporate job to become an entrepreneur or a thought leader in a space that no one else is in. Or by staying I your corporate job and creating new arenas of competition. There may be no official job posting or even an established position. But you detect a gap and articulate a way to fill it: with a new job, tailor made for your expertise. You may be told “no thanks,” but if a manager says, “yes please” to your idea, there is no competition for the spot. There is a risk of being denied but not of being outmatched.
For personal disruption this is identifying a job no one else can do.
Drew Bilbe the founder from Nexba outlined this on: Superior Sales Disruption Podcast: Episode 8