driving force of business growth : Innovation

1.0 Introduction
Innovation is the driving force of business growth, offering clients benefits they value
and distinguishing brands from contestants (Brown, 2015). Innovation matters for
ameliorating living levels and is defined as the exploit and commercialization of
products that are new to the marketplace and the world (Racine, 2011). Purcell,
(2019) held the point of view that innovation can help companies distinguish
themselves. Essentially speaking, innovation is trying something differently from
others who work in your space. For instance, the goal of innovation in an organization
is to exploit new products until there is no same product. Charan (2008) held the view
that innovation can shape corporate life, which helps leaders consider some
unpredicted strategic choices.
Innovation is a crucial driver in exploring several environmental-friendly resolutions
to the challenges the world faces. For example, people can know a variety of methods
that new technologies, such as AI, virtual reality, can make sustainable effect at Pictet
(Picket, 2013). The competence of innovation can facilitate countries’ global
competitiveness at a macro-economic level. About a quarter of US productivity is
generated by innovation between 2010 and 2020 according to some academic
research (Monterde, 2015). Innovation is an important source of current and long-
term competitive advantage. Evidence illustrates that those businesses who pursue
innovation are more likely to survive longer and provide higher returns to
shareholders. Through different forms of innovation, companies can suppress
competitors, increase barriers to entry and better satisfy clients’ present and future
demands (Monterde, 2015).
This article will evaluate the main factors that boost innovation in the first chapter,
then it will analyze the disruptive innovation of some companies in the second part,
and then it will evaluate the negative example of innovation failure in the last part.
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2 Chapter 1 The components of innovation and factors that promote
innovation
2.1 The enablers of innovation in Mushroom Company
Imagination is the root of innovation, which means that innovation requires stronger
imagination (Baumgartner, 2014). Innovation equals to creativity plus exploitation
(Roberts, 1988). After generating the idea of using coffee grounds to produce
mushrooms, the Expresso Mushroom company constantly tried and tested. By
utilizing various of resources such as support of the Sussex Innovation Centre and
investment, the Expresso Mushroom Company finally earned value in the market, and
succeeded in innovation.
Collaboration plays an essential part in innovation. Teamwork can improve the
efficiency of innovation process. More innovative tasks often involve unaccustomed
technology and, therefore, it is harder to rely on past experiences to solve new
problems. Collaborative process is more than working together. It means the
capability to think together and to act on complicated projects (Kathy Moore Cowan,
2009). As everyone conveys an outstanding set of skills and knowledge, collaboration
can stimulate innovation in the working environment (Hipp, 2008).
There exists strengths and weaknesses of collaboration in innovation in Espresso
Mushroom Company. In terms of strengths, first of all, the pressure can be lifted to an
extent as working with a wide range of people and spread risks (Roberts, 1988).
Espresso Mushroom Company is made from scratch, the most difficult thing is that it
requires lots of money. Besides, it may have some risks of innovation. Alex and
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Robbie, as a cooperative group, can help Mushroom Company share the risks of
innovation, and help the company share the financial pressure. Secondly, it can
enhance greater creative input. When people collaborate with others on a complicated
project, different views, different methods to the plan and brainstorms can simulate
innovative outcomes, thereby, it can raise the quality of the services and products
(Garlough, 2013). Alex had heard about the growing of mushrooms with by-products
of the coffee bean plant in the first time whilst working with Café Direct, however, it
wasn't until Robbie discovered this idea when he was reading development research at
the University of Sussex that it prompted the two to create a start-up company around
this concept. In terms of weaknesses, when different people work together to
complete a project, there may be a conflict in the working styles of the individuals in
the group, which is one of the adverse aspects of teamwork (Makarova, 2021).
Sometimes, Alex and Robbie may have the problem of inconsistent working methods
while innovating.
Failure plays an essential role in innovation process. It has several benefits in
innovation. Failure can make people become more conscious of their actions and their
environment, which can stimulate exploration and lead to new fields of innovations
(Michelle, 2011). In addition, failure can encourage people to learn from the past
mistakes and find methods to improve (Paul, 2013). Expresso Mushroom company
has made great efforts in experimenting with the best method to grow mushrooms,
and experienced a lot of faults. Taking a few weeks to see the outcome of the
experiment is the biggest trouble with trial and error. It is precisely because of these
mistakes that the company has the opportunities to reflect on the mistakes and explore
new methods to improve.
A variety of resources also enabled this company to innovate. Without the support of
Start Up Sussex in 2012, Alex and Robbie would not gain investment after winning
the entrepreneurship competition, thereby, the lack of investment support will make it
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difficult for the company to innovate. Through the Sussex Innovation Center to help
Mushroom Company establish a bookkeeping system, the long-term growth can be
increased. In addition, the introduction of Kitchen Garden mushroom growing kits
gave a significant help to the financial achievement of this company and facilitated
the idea of growing sustainable mushrooms.
2.2 Analysis of sustainable innovation in Mushroom Company and its
impact
The principled feature of the company is mainly reflected in the company’s
environmental awareness. Sustainable innovation involves bringing into common
usage of ideas, concepts, practices and products that contribute to the ecological
environment, social cohesion and economic viability (Clark, 2007). Espresso
Mushroom company has tried to use coffee grounds to grow mushrooms to reposition
them from waste to resources. A large amount of methane can be transformed into an
energy source through growing mushrooms with the grounds (Weliwita, 2015). First
of all, this innovation method can save resources. Besides, it can create environment
value. It can reduce energy consumption and decrease greenhouse gas emissions into
the atmosphere, thereby, it can minimize the pollution hazards to the environment. In
addition to the environmental benefits, organizations that incorporate sustainable
innovation can also gain significant financial advantages and draw more attention
from investors, which is a key to long-term profitability (Bocken, 2019).
However, this innovation may have some drawbacks. As it stands they are a collective
of three like-minded individuals, but further growth may put their ideals under the
inspection of others that are less ethically-minded. So far, their development has
brought in decisions regarding their environmental footprint that have been higher
economic costs than substitutes, which may not attract more potential investors in the
future.
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