Innovation And Strategy Flashcards
What is the rogers bell curve.. explain it
Curve showing the types of adapters in categories in a bell curve. Diffusion of innovation curve
Innovators: 2.5% of the population , they are risk takers, are willing to try new the new things,apps,lifetyles,trends etc. they think outside the box and they don’t just go with the flow.. e.g. Netflix was a dvd rental service and in 2007 it launched its streaming service.the wright brothers. Tesla, known for its groundbreaking electric vehicles and renewable energy solutions
Early adopters: 13.5% of the population, somewhat of a risk taker. They are more informed than innovators and tend to push a new trend or technology to a wider audience. Usually have some degree of persuasive power or leadership. E.g, companies that bought iPhones to sell in 2007.
Early majority, 34% … they need some time to pass before adopting something new .take longer to welcome something new into their lifestyle.
Late majority, 34% .. they require extensive research and proof before adopting a new product or technology or trend etc. uaually will make the change after most peers and loads of people have first
Laggards, 16% last group to adopt an innovation. Resistant to change and order tradition. Usually will wait till after it’s necessary or even now become tradition. E.g people who still read the newspaper and have fliphones idk
What is invention
Invention is the first occurrence of an idea for a new product or process
What is innovation
Innovation involves the conversion of new knowledge into a new product, process or service AND the putting of this new product, process or service into actual commercial use
Innovation is multidimensional
The intention,development and implementation of ideas into actual commercial use .. (young, 2017)
Name the three steps process of innovation
Invention
Development
Implementation
Name the 4 main concepts/types of innovation
Product innovation
Process innovation
Business model innovation
Henderson-Clark model of innovation
What is product innovation
Product innovation represents the creation and introduction of a product (or service) into a market.
Could be new or.. more likely.. an adapter or imported version of product before
Continuous innovation in organisations
E.g. ford. iPhone. Samsung.
What is process innovation
Process innovation represents the improvement of production and delivery methods.
Can include changes in technique, equipment, software etc
It can include social/cultural factors such as relationships, knowledge
E.g. Zara continuously changing in fast fashion rapid development
Business model innovation
Business model innovation is concerned with the development of new and unique concepts to support organisations
This includes supporting their financial viability and general strategy
The goal of business model innovation is to realise new revenue sources and innovation ways of improvising product value and delivery
E.g. Netflix (quality IG?) developed new and unique way to support the Hollywood organisations?.
Explain the Henderson-Clark innovation model
C
Explain open innovation and name the two types of open innovation
Open innovation concerns organisations working more openly to innovate
Less secretive.. external actors
If often involves contemporary IT to collect new knowledge e.g crowdsourcing platforms
Inside-out and outside-in
Explain Inside-out open innovation
Organisations open their own resources to external people e.g. developers.. Other organisations can use them
Explain outside-in open innovation and example
Organisations ‘open’ their organisational boundaries to make use of external ideas and technologies
Lego to vote on which building landmark should be featured in the next architectural series box
What is a open strategy
Open strategy in built on the foundations of transparency and inclusiveness of the strategy process to internal and external stakeholders. This means more people have a say in the process of a strategy. Others are given alof of info that’s normal outside of what’s considered necessary
E.g. wikimedia consulted openly on strategy with its staff and community for around 10 years. This results in regular strategic plans for the organisation.. 5 year cycles
What is a dilemma firms face when innovating/ managing innovation
Innovate or imitate? First mover vs late mover issues… example Amazon introduced Amazon echo (Alexa) in November 2014 and a few months later Google introduced Google home voice activated smart speaker
Disruptive innovations
Lack of creativity/ knowledge
Openness
What is disruptive innovations
This refers to the introduction of a new product, service, business that disrupts existing markets. E.g. making something cheaper that displaces long standing established competitors
E.g. online bookstore… Uber/lyft because normal taxi’s weren’t needed as much anymore and they used to be more expensive. Spotify songs, cds and iTunes downloading used to be used before
