The innovation process
14 important questions on The innovation process
What is this 'difference in kind' what Downes & Nunes (2009) talk about in their article: 'Big-Bang Disruption - A new kind of innovator can wipe out incumbents in a flash'.
Look at the picture and understand it (from Downes & Nunes (2009))
What are radical and incremental innovations, according to Varadarajan (2009)?
Incremental innovations refer to improvements in a firm’s existing product offerings that better satisfy the needs of its current and potential users.
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What is defined by the 'flexible process' a Next-Generation Stage-Gate perspective, according to Cooper (2008).
What is defined by ''an adaptable process' a Next-Generation Stage-Gate perspective, according to Cooper (2008).
What is an 'Open Systen' one of thethe Next-generation Stage-Gate systems, according to Cooper (2008)?
What are the four general idea generation style techniques? (powerpoint)
Exploring –questioning assumptions, discover new possibilities
Modifying- refining, improving what has already been done
Experimenting - combining new ideas and testing them
How do you test a prototype of a product (powerpoint)?
–technical test, performed by the manufacturer
–copying user situations as carefully as possiblein the laboratory
–test whether the product meets the specifications
Beta-test
–market test, performed by potential customers
–test whether the product functions in real-life situations
–often used for promotion
Gamma test
–market test for a longer period
–test durability of the products
How do ideas transfer to concepts?
•Detailed list of specifications
•Blueprints, drawings
•Three-dimensional images, models
•Can be drawings or computer-generated images or physical mockups
What is a 'test market' (powerpoint)?
–in a specific city (such as Apeldoorn or Breda)
–in a specific channel (such as gas stations)
Objective is to test the complete marketing mix
–product
–channels
–communication messages and media
–pricing
–promotional activities
Usually not suitable for B2B products
–too complex
–too expensive
What is a 'market launch' (powerpoint)?
Usually, theinnovationthat is launched is different fromtheoriginalidea...
Market launch is clearly a marketing activity, but willonlybesuccessfulif marketing was involvedduringthewholedevelopmentprocess!
Two types of launchdecisions
–strategiclaunchdecisions
–tacticallaunchdecisions
What are 'strategic launch decisions' (powerpoint)?
Concern why/what/when/where questions
–launch objective (expand product range, increase market penetration, create entry barriers)
–newness of product (completely new, modification)
–timing (pioneer or follower, all at once or phased)
–choice of target market (mass market, niche market)
Decisions depend on:
–newness of the product
–experience with the market and current market position
–degree of competition and expected reactions
–available resources
What are 'tactic launch decisions' (powerpoint)?
Concern how questions related to
–product (branding, depth of product range, packaging)
–distribution (channel selection, distribution intensity, delivery conditions)
–price (skimming or penetration pricing?, discounts)
–communication (budget, instruments, push or pull?)
What are some reasons to announce new products?
2. Convincing potential buyers to postpone their purchase
3. Allowing buyers to get ready for the purchase (e.g. by saving money or making required investments)
4. Encourage suppliers to develop new components
5. Encouraging complementors to develop products
6. Preparing the distribution channels
7. Scaring off the competition
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