Offering

Question 1

Offering equity

Answer 1

The core benefits relative to the costs of an offering, stripped of brands/ relationships

Question 2

Benefits of offering equity

Answer 2

1. Barriers to entry
2. Price premium
3. Motivate switching
4. Employee retention
5. Enhance brand (even if people dont buy it)

Question 3

Why do people not innovate ?

Answer 3

• Risky
• requires process innovation
• Costly

Question 4

Innovation radar

Answer 4

What: 
Product 
Platform 
Solutions
Who: 
Value capture 
Experience 
who 
How: 
Processes 
SCM
Org structure 
Where
brand 
presence 
networking

Question 5

Chasm

Answer 5

1. Innovators: actively seek
2. Early adopters : need little reference
   Chasm
3. Early majority: more pragmatic
4. Late majority: even more convincing
5. Laggards

Question 6

How can you cross the chasm?

Answer 6

making sure your offering is what they want; conjoint analysis

Question 7

Conjoint analysis

Answer 7

View products as bundles of attributes and determines which bundles are most suitable
assumes that customers cannot reliably rate the weight they attach to each attribute . When the data is collected, the underlying value of each attribute is estimated/ partworth utility

Question 8

Conjoint analysis use

Answer 8

• identifies product attribute trade off
• predicts new market share of products
• identifies willingness to pay

e.g. do you want a lighter phone but longer battery life?- inherent tradeodds- what maximises the intent to buy?

Question 9

the innovators dillema

Answer 9

Sucessfull comapnies can be doing well but then fail in the face of a disruptive innovation

Question 10

Sustaining innovation

Answer 10

Improving an offering based on what you learn from your customers (current needs)

Question 11

Disruptive perfromance

Answer 11

Appears to be performing badly in all the different areas so large comapnies think thta their customer base wouldnt want it (Future needs)

Question 12

Red Ocean

Answer 12

Highly competitive- firms trying to differentiate along the same product characterisitcs
Incremental innovation
Less profit because price is low

Question 13

Blue Ocean

Answer 13

Persuing a more disruptive innovation strategy
Significantly higher risk
Introduce enexpected features
new markets
e.g. Crique de soleil- animal and star costs, targeted at adults (value prop and segment became new—— characteristics of the normal circus became invalid)