Lectures 1 & 2

Question 1

Innovation is

Answer 1

The process of translating new ideas into products, processes and services. There are many different type of innovation: product innovation (new products), process innovation (new processes), position innovation (new ways of selling things) and PARADIGM INNOVATION (new business models)

Question 2

Entrepreneurship is

Answer 2

A powerful mixture of energy, vision, power and commitment. An entrepreneur is one who undertakes an enterprise, one who owns or manages a business and takes risks for profit or loss.

Question 3

Innovation and Entrepreneurship

Answer 3

Have and overlap, where the two are complementary to one another

Question 4

Incremental innovation

Answer 4

Producing something marginally better than what already exists. Easy to complete, simply by making small improvements often.

Question 5

Radical innovation

Answer 5

Producing something completely new. This is a more significant type of innovation, but it is more difficult to complete.

Question 6

Products and processes

Answer 6

It is more often than not, that products and processes overlap. How products are actually made and what processes need to occur in order for that to happen often cross over.
For example, how a creme egg is filled, or how stripes are put into toothpaste.

Question 7

Systematic innovation

Answer 7

Involves proposing a brand new system:
- Allows new components to be made proprietary
- Customers may fear being locked into one supplier
- Problems of critical mass - value decreases as the number of people who have it increase
This is an example of RADICAL INNOVATION

Question 8

Component innovation

Answer 8

Involves building a new component for an existing system, which builds upon established users e.g. things that connect to the internet, such as mobile phones and application
This is an example of SYSTEMATIC INNOVATION