MODULE 2 PART 8: Idea Generation (Innovation)

Question 1

What is innovation?

Answer 1

• Although “business innovation” is often used to describe technology, the real meaning of business innovation is increasing income. (David, 2022)

Question 2

What is the main benefit of innovation?

Answer 2

• Increases business income and enhances the bottom line. Potential avenues for improvement in a company may involve updated goods or services, amplifying sales and driving growth (Hayes, 2023).

Question 3

(3) Major Types of Innovation:

Answer 3

1. Process Innovation (change in product’s or service’s manufacture, creation or distribution)
2. Product or Service Innovation (creating and implementing new ideas, concepts or technologies to enhance customer value)
3. Disruptive Innovation (introduces new value proposition, either create new markets or reshape existing markets)

Question 4

This is a change in how a product or service is manufactured, created, or
distributed to achieve greater efficiency.

Answer 4

• Process Innovation

Question 5

(3) Examples of Process Innovation in Different Sectors:

Answer 5

1. Implemented self-checkout systems (allows customers to scan and pay for their items without relying on assistance from cashiers (Fast Company,2022))

Example: Supermarket in PH like SM, Rustan, Robinson’s

2. Online booking services (enables travelers to compare prices and make reservations from their own homes (Fast Company, 2022))

Example: Tripadvisor.com, Booking.com, and Agoda.com

3. Robotic automation (companies are empowered to automate repetitive tasks and elevate overall quality of production (Fast Company, 2022))

Example: Tesla, Apple, Adidas, General Electric

Question 6

This involves creating and implementing new ideas, concepts, or technologies to enhance customer value and differentiate a company’s market offerings.

Answer 6

• Product or Service Innovation

Question 7

(4) Examples of Product Innovation in Different Sectors:

Answer 7

1. Smartphone (combining various features into one remarkable device.)
   Example: Apple’s iPhone release in 2007
2. Plant-based meat alternatives (these mimic real meat in taste, texture and appearance while being environmentally friendly)
   Example: Beyond Meat and Impossible Foods
3. Ride-sharing services (convenient and affordable alternatives for traditional public transportation)
   Example: Grab, Uber, Lyft
4. Online streaming platform (Allows people to watch whatever they want, whenever they want without being limited by fixed television schedules)
   Example: Netflix

Question 8

This introduces a new value proposition. It either creates new markets or reshapes existing markets.

Answer 8

• Disruptive Innovation

Question 9

(2) Types of Disruptive Innovation:

Answer 9

1. Low-end disruptive innovations (happens when products are too expensive because they are high quality)

Example:
1.1. Budget airlines like Southwest Airlines and Ryanair that provides affordable flights.
1.2. Low-cost smartphones like Xiaomi and Oppo that created alternative to high-end smartphones with same capabilities.

2. New-market disruptive innovations (occurs when features of a product restrict its accessibility or it is inconvenient)

Examples:
1.1. Action cameras by GoPro which causes significant disruption in camera market.
1.2. Free messaging app like Whatsapp that is changing telecommunications industry.