Managing risk and reward in an innovative portofolio

Question 1

What are two things that can be seen form the risk matrix?

Answer 1

1. A company has more projects than it can manage well

2. The distribution of Big and Smaller I innovations are lopsided

Question 2

What are six fundamental questions for product screening?

Answer 2

1. Is the market real?
2. Is the product real?
3. Can the product be competitive?
4. Can our company be competitive?
5. Will the product be profitable at an acceptable risk?
6. Does launching the product make strategic sense?

Question 3

What are four conditions for market opportunity?

Answer 3

1. The product will meet a need or solve a problem better than alternatives
2. Customers are able to buy it
3. The potential market is big enough
4. Customers are willing to buy the product

Question 4

What are three question to determine the product is real?

Answer 4

1. Is there a clear concept?
2. Can the product be made?
3. Will the final product satisfy the market?

Question 5

What are three reasons for a new product to fail?

Answer 5

1. New product did not achieve its market-share goals
2. The price dropped faster than expected
3. The market was too small or did not grow as expected

Question 6

What are three questions to determine if our company can be competitive?

Answer 6

1. Do we have superior resources?
2. Do we have appropriate management?
3. Can we understand and respond to the market?

Question 7

What are two questions to evaluate if the product makes strategic sense?

Answer 7

1. Does the product fit with overall growth strategy?

2. will top management support it?