Disruptive innovation refers to the process by which new and innovative ideas, products, or services enter the market and, in doing so, disrupt and reshape established industries and markets. This concept was first introduced by Harvard Business School professor Clayton Christensen in the late 1990s. Disruptive innovations often start small but can eventually have a profound impact on the way business is conducted and how consumers behave. Here's how disruptive innovation works and some examples of it in action: