The 3D-Technology: A New Competitive Arena

In this paper we argue that 3-D printing technology is a form of disruptive innovation that is transforming the design and prototyping service sectors where Knowledge Intensive Business Services (KIBS) are growing in importance. In manufacturing industries they play the role of boosting and strengthening innovation, an especially important role in design-driven sectors. It is in these sectors that 3-D technology is fundamentally transforming the design and production process, and thereby the industry’s business models. The key feature of this technology is that it allows firms to produce small quantities of customized goods at relatively low costs. This is encouraging incumbent companies to add “Business to Consumer” (B2C) activities to their previous “Business to Business” (B2B) business models. It is also accelerating the creation of new design ventures. B2C activities can be undertaken by new, small, firms with few technological capabilities, leveraging external creative sources and crowd-sourcing to create new products. In this paper we describe a number of the changes to business models identified through examination of the practices of a small sample of illustrative cases.