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The impact of rapid innovation on business dynamics has been examined using semiconductor companies in the wireless device market as a case study. Semiconductor companies can be divided into three business models based on their value chain focus: technology focused, mixed model and full scale. Each model needs to respond uniquely to the challenge of rapid innovation. At the highest level, all companies need to ensure that they have developed partnering as a core competency. Technology focused companies need to build alliances around the extended enterprise to increase market access.

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