3. Innovation Concepts Flashcards
Name types of product innovations + there relation to market and technology situation
Explain the 4P-Model of Innovation
-4 types of innovations from incremental to radical
- paradigm (Business model)
- product
- position
- process
define open innovation
-is the use of purposive inflows and
outflows of knowledge to accelerate internal innovation,
and expand the markets for external use of innovation,
respectively
–> get info from outside of the firm boundries
define closed innovation
is based on the view that
innovations are developed by companies themselves.
From the generation of ideas to development and
marketing, the innovation process takes place
exclusively within the company
define Systemic Innovation + example
- an innovation that is depended on new innovations
- require cooperation between actors from different areas
- replace existing systems (diesel-based to electric mobility)
example: lightbulb, electric car
define Lead user + charateristics
-person who invents something, because the market does not feed the need (f.e. mountain bike, software)
- are on the leading edge of market
- > see needs before the are evereywhere
- anticipate high benefits from the innovation
how can u identify lead users?
- snowballing: people know people with the same rare interests and attributes
- pyramiding: people with a strong interest in a topic know a more expert than themselves
What is the danger of a disruptive innovation?
- Company A offers way more than the market needs
- Company B offers smth with less power and is cheaper
–> market starts to buy CB product
How can you react to a disruptive invention?
- adapt to disruptive technology and find a way to use it (online banking)
- focus on the existing business and invest there (cinema vs. television)
- wait and see
- Counterattack (swatch with there watches)
