Innovation and Design

Question 1

Pioneering

Answer 1

Being ahead of the competitors by introducing a new product first

• most risky but with potential for the largest gains

Question 2

Imitative Strategy

Answer 2

Aims to develop a product similar to the “Pioneered” product asap

Question 3

Hybrid Strategy

Answer 3

Companies use a mix of pioneering and imitative strategies to:
- maximize profit
- provides a quick turn around nd
- reduces R&D spending

Question 4

Market Penetration

Answer 4

% of the total market
- some % doesn’t use product
- % + when customers convert
-

Question 5

Market Share/Market Segmentation

Answer 5

Splitting up the market penetration

Question 6

Market Segmentation

Question 7

above/below the line

Question 8

Manufactured Demand

Answer 8

demand for something that, in the absence of exposure to the vehicle of creating demand, would not exist.

Question 9

market development

Question 10

product development

Answer 10

the creation of new, modified or updated products aimed mainly at a company’s existing customers

Question 11

Diversification

Answer 11

developing new products for new markets

Question 12

robust design

Question 13

technology push and market pull

Question 14

product champion

Answer 14

the person who develops an enthusiasm for an idea and champions it

Question 15

multi-disciplinary approach to innovation