The term Creative Destruction was created by Joseph A. Schumpeter in Capitalism, Socialism and Democracy (Page 83).

The Schumpeterian process of creative destruction is the innovation that continuously reconfigure industry structure and the role of the different players in the market to create value for customers in new and different ways.

Excerpt from the book:

The opening up of new markets, foreign or domestic, and the organizational development from the craft shop and factory to such concerns as U.S. Steel illustrate the same process of industrial mutation–if I may use that biological term–that incessantly revolutionizes the economic structure from within, incessantly destroying the old one, incessantly creating a new one. This process of Creative Destruction is the essential fact about capitalism. It is what capitalism consists in and what every capitalist concern has got to live in. . . .