Chapter 9: Innovation and Competitiveness Flashcards
Adopting world class supply management practices can be viewed asa form of _____ innovation
Non-product
Innovativeness can be viewed as a key element of what orientation
An entrepreneurial orientation
What are the four elements of an entrepreneurial approach to competing?
Seeking opportunity
Innovating
Acting proactively
Taking controlled risks
The undertaking of a marketing strategy that actively pursues a new opportunity ad has relatively high levels of innovation, proactivity, and controlled risk taking
Entrepreneurial marketing
Acting as if their organization is a high-growth start-up with the result that their organization shows at least some of the flexibility and boldness of a start-up is art of what approach?
Acting entrepreneurially
Creating something new and making it useful is which dimension of entrepreneurial marketing?
Innovation
Doing something before others do it is known as what?
proactivity
Not “bet the farm” risk taling. rather , entrepreneurial risk taking is knowing what risks are and doing something to control risk
Controlled Risk -Taking
Actively looking for opportunities and constantly evaluating how attractive prospective opportunities are
Opportunity Seeking
What’s the cycle of activity when acting entrepreneurially?
It begins with opportunity recognition and idea generation. next Business idea generation takes place and it involves business planning, experimentation, and obtaining resources. Next, the plan is launched, feedback is collected, and revisions take place.
Any way of doing something is also known as what?
technology
What is the ultimate way of reducing risk?
To change the rules of the market
The undertaking of a marketing strategy that actively pursues a new opportunity and has relatively high levels of innovation, proactivity, and controlled risk taking.
Entrepreneurial marketing
Three key traits are indicators that someone will be comfortable acting in an entrepreneurial environment, they are?
Ability to persistently pursue a passion, comfortable trying new things, and bias for action.
The key activity for controlling risk
establishing learning mechanisms
What are the two major impediments to entrepreneurial marketing?
A requirement for extensive justification and a tendency to punish failure
What are three ways to identify opportunities, create proactivity, and take controlled risks?
Removing impediments and providing incentives
Contact networks aimed at facilitating execution of marketing activities?
Contact network for execution
business model innovations that re not product or technology related are often the most _____ innovations
disruptive
This can be viewed not just as the creation of new things but also as new and better ways of doing what has been done before
innovation
Innovation drives free market economy: T or F
T
A way of doing something based on scientific principles or knowledge.
Technology
A change in any technology and must be useful and potentially commercialized- innovation is invention in commercial use.
Innovation’s additional definition
Failure in innovation is positive as long as it does not kill the company and if the company learns something valuable: T or F
T
Taking the existing product and offering and making small step improvements to the original design
Incremental innovation
producing large changes in the functions and performance of a product offering
radical change
What is the alternative meaning of the term breakthrough innovation?
It can mean that the technology architecture has changed drastically or that the benefit structure is essentially different and vastly better
Innovation that improves the existing dominant technology, products, or offerings,
Sustaining innovation
Is sustaining innovation incremental or radical in nature?
Sustaining innovation can be both incremental and radical
introducing a product or business idea that creates a new kind of value
Disruptive innovation
Suppliers of disruptive innovation technology must target ____ ____ _____ different customer groups than the current leaders in order to succeed.
different customer groups
A disruptive offering often offers ___ below that of the existing technology.
performance
Disruptive technology is always radical innovation: T or F
F
Can incremental innovation be the initiator or disruptive innovation?
yes incremental innovation can initiate disruptive innovation
What type of innovation should a firm pursue with a strategy that intends to “change the rules of the industry” ?
Breakthrough or disruptive innovation while being proactive rather than reactive
____ strategy sets the innovation context with which the marketer has to operate
Business
When should disruptive technologies be pursued?
At the point where mainstream needs are over fulfilled. Emerging segments will be looking for lower performance, but with new benefits
if the business opportunity is not uncertain, then the innovation is probably not ___
disruptive
If an innovation involves a changeover in a firm’s infrastructure, then the innovation is likely
disruptive
Uncertain markets are uncertain at first is a premise of a ___ plan
learning
Allocating resources to trial, error, learning, and reconfiguration in order to learning about markets for disruptive technologies.
Discovery based planning
Where do most customers emerge for disruptive technologies?
Most customers for disruptive technology emerge in new markets and segments; and the marketer will not have a good idea of what the segments are
Users who have vision, who can anticipate what kinds of needs will arise among potential customers in the future
lead users
What is the second part of the discovery based planning process?
judicious use of trial and error
Innovations which are changes that are radical and incremental that make somewhat predictable improvements to existing technologies
Sustaining innovation
Increases performance or costs dramaticallybut within the same technology direction
radical sustaining innnovation
Small changes along predictable vectors
Incremental sustaining innovation
Most sustaining innovation is _____ in nature
Incremental
Planned organization changes- setting strict time tables for new versions of products, operations, strategies, and so on- has been found to work well in fast paced business environments in focusing the company’s efforts and setting expectations for customers
Time Pacing
____ innovation requires an autonomous organizational unit with its own mission, objectives, processes, and metrics
Disruptive
___ innovation requires attention to constant customer inputs and time pacing applied through the marketing plan
Sustaining
Who should be included in a network of contacts to supply information for disruptive innovations?
The network must be broad and focused on insightful customers and industry watchers
Who should be included in a contact network for sustaining innovations?
The network should be focused more on customers, partners, and channel members within the market of interest
This type of innovation needs autonomy and constant updating of the vision of the future market
radical innovation
The types of products that hide in the “shadows” of firm’s other offerings because they are perceived as radical innovations by the consumer but incremental by the supplier
shadow products
These products result when the company sees an innovation as radical and customers only view it as incremental
delusional products
