Abstract
Creative destruction tends to be a very disruptive and painful way of bringing about change — often so painful that it becomes virtually unsustainable. In many situations such highly destabilizing and painful changes can hurt more than they help. What is needed is a less disruptive approach to change — one that provides for a sustained series of successful changes, enabling firms to adapt to their ever-changing environments without being torn apart. An alternative to creative destruction called creative recombination is described. Creative recombination begins with the assumption that firms already have in-house many, if not most, of the elements that they need to bring about change. Rather than destroying existing organizational assets to bring about change, firms can simply recombine them.