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The destructive innovation is an important way for small and medium-sized enterprises (SMEs) to survive in the fierce competition. However, there are also risks of failure in destructive innovation. The current study paid more attention to the successes of destructive innovation, but few scholars studied how to analyze its risks to help decision-makers in SMEs determine whether the destructive innovative projects are worth investing. A systematic classification of risks is provided in this paper and an index system of risk evaluation is presented including technical risks, organization and administration risks, market risks and policy risks. On the basis of grey system theory, a grey hierarchy evaluation model is put forward to assess destructive innovation risks quantitatively in accordance with the index system.
Cheng et al. (Tue,) studied this question.
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