What defines a disruptive technology?

A disruptive technology is primarily characterized by its ability to create an entirely new industry or fundamentally alter the way that an existing industry operates. This concept, introduced by Clayton Christensen, emphasizes that such technologies initially may not meet the needs of mainstream customers, yet they open new markets and appeal to a different audience. Over time, as they improve and gain traction, they can disrupt established businesses and lead to significant changes in market dynamics.

In contrast, the other options describe various facets of technology but do not encapsulate the core concept of disruption. Enhancements to existing industries, improvements to products, or increased competition may not necessarily indicate that a technology is disruptive. These attributes can apply to incremental innovations that enhance or evolve existing technologies rather than forming new pathways or markets. Therefore, the defining trait of a disruptive technology is its transformative potential to innovate and establish new industries altogether.