4 Stages of How the Market Reacts to an Idea

“No army can stop an idea whose time has come” — Victor Hugo

A new idea that causes the birth of a paradigm shift goes through these stages of public reaction:

1. Complacency and Marginalization: The idea is seen as “off-the-wall”. It’s seen as quaint but not a serious threat to the dominant worldview.
2. Ridicule: Complacency fades as idea refuses to die. This results in ridicule by people who clearly and laughingly see that it’s inconsistent with something they hold to be true.
3. Criticism: As the new idea gains acceptance, people who held conflicting world ideas for some time or have their reputation invested in the old paradigm, take their gloves off and play dirty. It is now a threat to their worldview which reinforces their identity.
4. Acceptance: Finally, enough people make the leap to the new paradigm that it gains psychological as well as intellectual acceptance. Those who were threatened accept it as the new norm due to the overwhelmingly stronger influence of social proof is too much for their individual bias towards their former identity and worldview to overcome.