INNOVATION, INNOVATION
STRATEGY, AND STRATEGIC
INNOVATION
Organizations continuously strive to differentiate their products from those of their competitors by preempting market opportunities, shaping consumer preferences, and responding to changing demands.
INNOVATION, INNOVATION
STRATEGY, AND STRATEGIC
INNOVATION
Strategic Innovation
Innovations in killing
Organizational breakthroughs
Innovations in the physical movement of people and goods
Innovations that allowed real-time communication beyond the range of a single
human voice
Innovations that extended life
Innovations that enabled the Industrial Revolution and its successive waves of
expanded material output
Innovations that are integral to the physical and operating infrastructure of the
modern world
Innovations that expanded the human intellect and its creative, expressive and
moral possibilities
articulated versus unarticulated
need
Meeting a currently unmet customer need
Creation of value
Product innovation that satisfies specific needs and wants.
More effectively and efficiently
More effectively
More efficiently
Innovation as a process
A multi-stage process by which an organization transforms an idea into a new or improved product or proces.
process of translating an idea into a commercially viable customer value proposition.
Innovation
Value
Solutions
Useful
Benefit
Process
Product
Improved
Novel
New
Knowledge
Idea
The implementation of a new or significantly improved product (good or service), or process, a new
marketing method, or a new organizational method in business practices, workplace organization or
external relations
Marketing Strategy
Affects, cognitions, and
behaviors that influences costumers.
Management responsabilities: organization
Behaviors of the organization: interactions
Innovation Strategy
What types of innovations will allow the firm to create and capture value,
and what resources should each type of innovation receive?
How will a firm capture a share of the value its innovations generate?
How will a firm’s innovations create value for potential customers?
Marketing Innovation
Customer Value
Proposition
Revenue Model:
Major Revenue
Source(s)
Major Cost Elements
Business Model Innovation
The operating model
Organization
Cost model
Value chain
The value proposition
Revenue model
The offerings
The target segment
Types
Radically new product
Incrementally new product
Product innovativeness
Innovativeness
Sustainable product innovation
Sustainable innovation
Social innovation
Reverse innovation
Architectural innovation
Exploratory innovation
Exploitative innovation
Business model and business model innovation
Technological breakthrough product innovation
Market breakthrough product innovation
Radical product innovation
Incremental product innovation
Product innovation
Process innovation
Order
Altering the rules of competition
Altering industry structure,
Deterring entry of new competitors into markets that
are currently served by the firm,
Preempting a product market opportunity
Neutralizing the effects of competitor’s actions
Differentiating the firm’s product offerings from competitor’s offerings,
Entering new markets,
Strengthening a
firm’s market position in presently served markets.