Innovation and Sustainable Development : Assignment

Running head: INNOVATION AND SUSTAINABLE DEVELOPMENT
Article review and presentation
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INNOVATION AND SUSTAINABLE DEVELOPMENT
Summary of the article
The article enhances the clarity of the personnel regarding the importance of business
models in the business activities. As a matter of specification, the focus of the article is on
licensing for the technologies, which the downstream specialists use for the performing the
allocated projects. Strategic approach towards licensing the technologies helps the personnel to
keep a track of their utilization (Gambardella & McGahan, 2010). Along with this, the strategies
enable the personnel with innovative strategies to maintain the pace in the competitive ambience
with the contemporary brands. Review of the strategies helps in the creation of the knowledge
based assets, which lures the candidates towards the brands. This creation can be considered as
one of the prospective means for the recruitment and selection process.
Along with this, modifications in the identified strategies help the personnel to assess its
effectiveness in terms of the values, which the technologies hold for the downstream specialists.
Here, adherence to the business model proves effective in terms of exposing proper attitude
towards developing policies for the license (Gambardella & McGahan, 2010). This adherence
nullifies the aspects of unpredictability. However, the personnel need to expose a conscious
attitude towards the utilization of the technologies by the downstream specialists. Negligent
attitude towards the specialist performance would make the courtly interventions inevitable.
Envisioning innovation within the theoretical perspectives helps the industry personnel to
achieve infrastructural development. Maintaining consistency in this innovation improves the
organizational capability.
The article points the fact that the firms undertaking business models for shaping the
organizations emerge as “legends” in the competitive ambience. This success improves their
confidence in terms of inspiring their associate partners to follow business models (Gambardella

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& McGahan, 2010). Seeking innovative means for enhancing the self-efforts reflects the inner
essence of the word “legend” in case of the companies and organizations. The focus of the article
is on firms like Google and Apple computers, who are known as the business model innovators.
The major drive behind this innovation is improving the relationship with the customers.
Next, the article sheds light on the importance of business model. According to business
terminology, business model possesses flexibility for the companies and organizations to
generate high sales revenue and add maximum value to the profit margin. Here the main
determinants need to be reasonable cost for creating and capturing value in an efficient and
effective manner (Gambardella & McGahan, 2010). According to critiques, business model
reflects the hypothetical attitude of the managers regarding the satisfaction of the needs, demands
and requirements of the customers effectively. Effective and judicious utilization of the resources
helps the firm to generate high profit. The major drive behind this is the activities, which makes
a clear demarcation between the operating cost and the revenue. Herein lays the appropriateness
of strategies.
Commercialization of the assets reflects the approach of the firms towards using business
models. Here, the article takes the example of Certicom, where mapping the prospective avenues
of knowledge-based assets has been the patent activity for achieving competitive advantage.
With the advancement of civilization and science, many scientific discoveries have taken place,
which possess flexibility for the technological licenses to achieve a better placement in the
competitive ambience of the market (Gambardella & McGahan, 2010). However, there are
challenges, which act as an obstacle for the firm personnel in terms of measuring the applications
of the general-purpose technology. Countering this, the operations of the firms are not general;
instead, they are specific to the requirements of the firm. As the competitions become intense,

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there would be advancements in the approaches towards the efficient execution of the business
activities in terms of reaching up to the expectation of the customers. This perspective redefines
the parameter of research and development in the firms. Evaluation of the current strategies
holds flexibility for the firm personnel to think out of the box and come up with something
creative (Gambardella & McGahan, 2010).
One of the other challenges here is absence of predictability. This occurs due to the lack
of oriental approach of the personnel towards fulfilling the identified and specified goals and
objectives. This absence compels the firm personnel to lag behind the contemporaries in terms of
assessing whether the provided license proves effective for commercializing the technical
avenues of the downstream specialists. The article makes special mention of forecasting in case
of the technological licensing, one wrong step can make the firms fall prey into scandals.
Contribution of the current business model in decision-making process for the managers
The main aim behind undertaking business model is to create and capture maximum
value through the provision of cheaper costs. Exposing a strategic approach towards adherence to
business model yields positive results (Gambardella & McGahan, 2010). Delving deep into the
aspect of decision-making, theoretical approach plays an important role. For example, current
business model involves a detailed research regarding the effective utilization of the
organizational resources for catering to the needs, demands and requirements of the stakeholders.
Herein lays the need for effective decision-making. The section of revenue stream assessment is
directly related with the decisions regarding the achievement of financial flexibility. Undertaking
the classical model of decision-making helps the firm personnel in evaluating the specified
enterprise for catering to the needs and requirements of the stakeholders. This evaluation

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includes assessment of the revenue, which the enterprises are receiving for this job (Gambardella
& McGahan, 2010).
Innovations in business model relates with the quest of the firm personnel in terms of
upgrading the standards and quality of their performance. Herein, “commercialization of the firm
assets” indicates experimentation with the existing technological license for speculating the
audience approach. These experiments can alter the traditionalism of the firm however;
adherence and compliance to the values would keep the traditionalism intact. Rational thinking
in these experiments assists the firm managers to achieve positive results in securing the market
position within the competitive ambience (Gambardella & McGahan, 2010). Perceiving this
aspect from the technological aspect, “rising technology” relates with the modern designs in the
technological gadgets. Along with this, there has also been a rise in the licenses, which the
employees have been provided for utilizing the technologies. Along with this, there has also been
a rise in the instances of cyber crimes, compelling the firms to lose their confidential data. In
view of all these aspects, license acts as a legal document for the firms in terms of averting such
illegal instances.
In the present scenario, the firms sell rights to the associate partners instead of
undertaking direct marketing for the technological licensing. This has adversely affected the
relationship between the firms, stalling the productivity (Gambardella & McGahan, 2010).
Delving deep into the issue, this aspect compels the managers to re-conduct the decision-making
process regarding the selecting the stakeholders, that is, the enterprises. In most of the cases, it
has been seen that the firms face challenge regarding licensing for the technological parameter.
One of these challenges is convincing the licensee to buy a technology, which is not used by the
supplier. This attaches an interrogative parameter to the orders placed to the suppliers regarding

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the licenses for using the technologies. Viewing it from the other perspective, this kind of
instigations is a breach of contract, which compels the managers of the firms to put on their
thinking caps in terms of deciding the compensation values (Gambardella & McGahan, 2010).
It can be said that narratives related to licensing of technology represents the approach of
the firm personnel behind bringing innovation in the business models. Application of rational
thinking in these innovations possesses enough flexibility to increase the intellectual capital. If
this increase is envisioned, then the personnel need to set realistic and achievable goals. Mere
setting of the goals would not serve the purpose. The identified and the specified goals need to be
evaluated consistently in order to upgrade the standard and quality of the firm performance
(Gambardella & McGahan, 2010).

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References and Bibliography
Anadon, L. D., Chan, G., Harley, A. G., Matus, K., Moon, S., Murthy, S. L., & Clark, W. C.
(2016). Making technological innovation work for sustainable development. Proceedings
of the National Academy of Sciences, 113(35), 9682-9690.
Benn, S., Dunphy, D., & Griffiths, A. (2014). Organizational change for corporate
sustainability. Routledge.
Bocken, N. M. P., Short, S. W., Rana, P., & Evans, S. (2014). A literature and practice review to
develop sustainable business model archetypes. Journal of cleaner production, 65, 42-56.
Boons, F., & Lüdeke-Freund, F. (2013). Business models for sustainable innovation: state-of-
the-art and steps towards a research agenda. Journal of Cleaner Production, 45, 9-19.
Cañeque, F. C., & Hart, S. L. (Eds.). (2015). Base of the Pyramid 3.0: Sustainable development
through innovation and entrepreneurship. Greenleaf Publishing.
Gambardella, A., & McGahan, A. M. (2010). Business-model innovation: General purpose
technologies and their implications for industry structure. Long range planning, 43(2),
262-271.
Halme, M., & Korpela, M. (2014). Responsible Innovation toward sustainable development in
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Environment, 23(8), 547-566.
Miller, T. R., Wiek, A., Sarewitz, D., Robinson, J., Olsson, L., Kriebel, D., & Loorbach, D.
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agenda. Sustainability science, 9(2), 239-246.

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Shrivastava, P., Ivanaj, S., & Ivanaj, V. (2016). Strategic technological innovation for
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107.
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technology development. Routledge.