Protecting Intellectual Property through Patents and Trade Marks

This report explores how Essence Drinks protects its intellectual property through patents and trade marks. It examines the impact of innovations on organizational vision, leadership, culture, and teamwork. The company uses frugal innovation, commercial funnel, and new product development to create products like mint Lassi at low costs. Patents and trade marks are essential tools for protecting these innovations from competitors.

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Unit Number and Title 08:Innovation and Commercialisation
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Table of Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
Ascertaining the importance of innovation and its comparison with invention.....................1
Organisational vision, leadership, culture and teamwork of the company Essence drinks can
shape innovation and commercialisation................................................................................2
LO2..................................................................................................................................................3
Frugal innovation....................................................................................................................5
For example-.........................................................................................................................5
LO 3.................................................................................................................................................6
commercial funnel:.................................................................................................................6
Innovation business case for essence drink and ways of funding....................................9
LO 4...............................................................................................................................................11
Analysing the techniques which must be used by company for developing, retaining and
protecting the intellectual property.......................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Innovation is a procedure stated for discovering and formulating strategies based on new
ideas and reforms to develop existing product better and the introducing of the new product. The
innovations and inventions in the company are important for the achievement of the
organisational goals and targets. This report will study the case of a company Essence drinks
which have introduced the new product that is mint lassi which is a new innovation of the
company. The report will highlight the difference between the inventions and innovations.
Further it focuses on the innovation funnel and the frugal innovation in the company Essence
drinks. Thereafter the report will study the new product development process of the product mint
lassi and the similar techniques that can be used by company to protect its innovations. .
LO1
Ascertaining the importance of innovation and its comparison with invention
Innovation-Innovation is referred as the process of creating and implementing new ideas
in the manufacturing of products, providing services and methods of operation. Innovation is
also a changes which can positively effect the companies in achieving and increasing the profit
of the company. Innovation involves creativity which is the very essence of innovation. In the
company Essence drinks there is need of the new innovation to increase the sale of its products.
Importance of Innovation- as the companies are growing at the high rates there is
constant need for the companies to develop new ideas and innovation which is very important to
survive in the industry (Zhu and et.al., 2017).
The importance of innovation are as follows- To stand out from competitors- innovation is important for the companies in order top
stand out from thee other companies in the market. As there are close competition
between the companies in the industry. The companies uses many new innovations to
make there product different and interesting for the customers. The company Essence
drinks involves the innovative drinks that is mint lassi to fight with there competitors. To meet high customer needs- as there are many products available in the market fir the
customers the customers have many choices regarding the purchase of the products. The
customers have very high needs from the companies and the products sold in the market.
So the company Essence drinks can be innovative to fulfil the needs of there customer
(Michaelis and Markham, 2017).
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 To combine best talent- the innovators and the talented personnel are mostly attractive to
the innovative organization. So in order to bring more innovation and ideas to the
company the Essence drinks have to be innovative. To minimize cost- the innovation of new ideas brings with it the various ways in which
the products can be manufactured at low cost and there is increased amount of profit in
the company Essence drinks.
 For overall development-through innovation companies can achieve there overall
development with the help of new ideas.
Sources of innovation: Innovation can be discover internally or externally. The mangers and
leaders can innovate the new ideas and techniques in the company. Externally the innovation can
be brought by experts and technical persons.
Comparison with invention and innovation- as there is need to grow and propagate in the
fast moving world it has become prime necessity to the companies to come with new innovations
and inventions.
 Invention is the creation of brand new product and device or the inclusion of any new
service. Whereas the innovation is referred as the process of making changes to the
existing product or services by introducing new ways or ideas (Wonglimpiyarat and
Khaemasunun, 2015).
 Inventions is change is policies and procedures for one company whereas innovation can
be development in the whole industry.
Organisational vision, leadership, culture and teamwork of the company Essence drinks can
shape innovation and commercialisation.
The main purpose of the innovation is the creation of the ideas, the main goal of any
invention is to commercialize the product and services. Commercialisation is the process of
summing up of all the products ideas, inventions, innovations and the marketing techniques and
communicating it to the customers. Commercialisation involves the launching of the new
product in the market.
For commercialisation there are different factors which effect the launch of a new product.
Organizational vision is one of these which determines the future goals and objectives
of the organization. In the company Essence drinks the launch of new product is under the
organisational vision of developing in future(Presenza and et.al., 2017).Through the innovation
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and commercialisation the companies can achieve more development process in the company
also there can be opening of new channels of sales to the company Essence drinks.
The organisational vision provides an idea to managers about how the company's
strategies are to be developed in order to achieve its set goals. If the vision of company would
mention vision of bringing innovation clearly, managers would be able to develop their strategies
and plans for the company regarding innovation in more effective way.
On the other hand leadership is shaping and organising the company as per the
organizational goals. There can be different methods of leadership's methods like autocratic,
democratic and participative method. Therefore through the right leadership the new product
mint lassi of the company Essence drinks can be given a right direction in the company. In the
company Essence drinks there are systematic leadership style which determines that leadership is
followed at all levels of the company.
Cultural differences of the country UK can have effects on the process of innovation of
the company. The cultures of different countries are different. Where some companies can have
favourable culture and some can have unfavourable culture. The company Essence drinks can
have favourable culture in UK for bringing the new product in the country. The innovation of
new product can be successful as mint lassi is a interesting and a new product(Thompson,
Herrmann and Hekkert, 2018).Through the innovation of new products and commercialisation
the company Essence drinks can bring the new products which have cultural interest in the
country.
Teamwork is a dynamic concept and solve the problem of the organization. Through
team work there can be flow of more innovations and ideas in the company and thereby
accomplishing the organisational as well as personal goals. In Essence drinks there is a quality
team work among the employees of the company therefore it is beneficial to bring the ideas and
innovations in the company. Through the innovation and commercialisation the company can
innovate the new ways of team management and leadership skills in the team management.
Team work can be seen as the most important factor regarding fostering and developing
innovation within the company. Through team work, motivation regarding performing their tasks
with more efficiency can be developed. Further, the team leader can also motivate its team
members in accepting the innovation and performing each innovative activities with full
efficiency.
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LO2
4Ps of Innovation- the 4Ps model was created and developed by John Bessant and Joe
Tidd which provide for the tool for analysis. The 4Ps of innovation is used by the managers to
evaluate the innovative ideas of the company and check there relevancy to the organisational
goals of the company Essence drinks in evaluating whether the product mint Lassi is capable of
introducing in the market(Saebi and Foss, 2015).11 Product innovation- the product innovation is the introduction of new product to the
market with there innovative ideas. e.g. new electric cars, new smart phone with water
resit able body. The company Essence drinks innovated the new product mint lassi.11 Process innovation- the process innovation referred to the change in the product and
service creation and delivery in the market. The process innovation doesn't involve the
new product but includes the making of the product with the new innovations and ideas
in the company Essence drinks.11 Position innovation- the position innovation relates to the product and services. It
determines that how the resources is being used to give effect to the innovation in the
company. Like- jeans which was development for manual workers as there dresses but
now it has become a fashion item(Hussain, Ab Rahman and Zainol, 2018).11 Paradigm innovation- lastly the paradigm innovation is the change in the basic mental
models of the specific company and the work of the company. The paradigm innovation
includes mainly 3 questions that are- what is the innovation, how is the innovation works
and why there is need for the innovation.
Innovation funnel- it is the process of the development of new ideas by describing the
steps from which the ideas can be best projected to obtain the maximum results from that. There
can be mainly ideas and innovations and also different types of funnel.
Image of innovation funnel
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Illustration 1: Image of innovation
funnel
(Source: Innovation Funnel
management, 2013)
Application of innovation funnel at Essence Drinks:
In the company Essence drinks the process of funnel is described below-
 firstly there is collection of the data regarding the ideas of change and evaluating there
relevance to the customer's need and demand.
 Secondly there is screening of those ideas which can be implemented in order achieve
company goals as well as customer satisfaction(Tsai and Lei, 2016).
 Thereafter in the third stage the ideas is been implementing of the ideas by designing and
developing the ideas in such a manner which is appropriate for supporting the best to the
company Essence drinks.
Frugal innovation
Frugal innovation is a concept which determines the response of business through
innovative ideas against the limited of resources in the company. This is also dependent on the
economic, social and political factors of the county in which the business is established. These
factors are also responsible for the innovation process. The frugal innovation is involving a new
product with the low cost. The company uses these factors positively and produces its product
with the use of new innovations.
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For example-
The company Samsung, sales its mobile to UK and India as well. There is difference in
the culture and living standard of the peoples in UK and India. The people in UK are rich and are
capable of purchasing high cost smartphones and are capable of understanding the complex
features of the smartphones. Whereas people in India are not capable of understanding the
complex features of the smartphone also they are not so rich to purchase the higher rate
smartphones (Breznitz and Etzkowitz, 2017). Therefore the company Samsung makes less
complex and low cost mobile for the people in India and high technology, high cost and complex
mobile phones for the people in UK.
Frugal innovation and Essence Drinks:
In the company Essence drinks the introduction of the mint Lassi can be a frugal
innovation as it is similar to the existing product of the company thereby can be manufactured
and sold at lower cost. Also there is large number of customer who buyers this product in UK as
this is unique and interesting for them. The main raw material in preparing Lassi is milk. The
company can purchase milk from the local milk sellers so that the cost of the mint Lassi will be
less. There can be innovation in the manufacturing of lassi through better techniques and
management.
Role of frugal innovation
Frugal innovation plan plays a vital role in bringing innovation in the business
organisation. Frugal innovation develops effectiveness in the company regarding using the
companies existing resources in such a way so that the innovation could be done without
imposing higher amount of resources into the innovation procedure. In addition, the frugal
innovation also required by the firm in order to launch the new product in the market in most
economical way and developing cost efficiency into the company's operations as well.
LO 3
commercial funnel:
The commercial funnel is the process which a company undertake in order to make the
product available to the customer. The commercial funnel can be termed as sales funnel as it
guides the managerial professionals to analyse and sale a product in market. The company uses
the commercial funnel to filter the product which is highly productive and its sale can be helpful
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to the company(Jiao and et.al., 2016). The commercial funnel is useful for the company Essence
drinks. The importance of the commercial funnel is as under-
Importance of commercial funnel for Essence Drinks:
 Sorting and Ranking of the sales- The company essence drinks can sort , rank and
prioritize the various products to create a consistent and organized process of the sales of
goods through the use of commercial funnel.
 Focusing on the right sales- Creating the commercial funnel the company Essence
drinks can focus on the sales of the relevant items which are actually benefiting the
company and also the customers. This include communication and interaction with the
customers regarding the quality of the existing product. It also helps the company in
receiving feedback for the launch of the new product that is mint lassi.
 In attaining the reasonable goals in projects as well as improving sales volume-
Through the use of the commercial funnel the company Essence drinks can achieve there
organizational goals through the systematic short term sales and long term sales. The
commercial funnel helps by creating the short term targets for the sale of product and
thereby achieving those goals(Downs and Velamuri, 2016). Systematic monitoring and accountability- There can be monitoring and control on the
sales function of the company Essence drinks as it is mainly concerned to the sales of the
product. Hence it will help the company in launching the new product the mint lassi in
the market.
Process for new Essence drink development-
It is a process of bringing the product from idea to the market. This process includes
various stages for the product to come to the market which are as follows-
1. Generation of idea- The idea is generating of inventing of the new flavour Lassi which
contain the mint in the existing Lassi.
2. Evaluation of idea- The idea of adding mint to the Lassi is evaluated by the company.
3. Product designing- This step includes the designing, the structure of the mint Lassi and
the various specializations to be added.
4. Product analysis – After setting of the design of the product the cost of bringing that
product is calculated. The total cost of product includes the indirect cost and setting up of
profit margin. The cost per unit of mint Lassi is calculated(Lee, Lee and Garrett, 2017).
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5. Development of production- After the designing and the analysis of the product there is
analysis for the related factors of the product. In this process the product packaging the
price of the competition company and the other related factors top the product are
examined. The product is so designed to attract the customer’s attention to the product.
6. Market testing- It includes the identification of the target groups in the market of the
customers to whom the product could be sold in the market.
7. Setting up the price: It is the most important task to be performed at the time of
innovation. Company needs to set the economical price of product so that customers
could be attracted towards the product.
8. Advertisement : This stage is requred to be established in order to provide information
to customers about the new product launched by the company in market.
9. Commercialisation-It includes finalising of the product price, and design of the product
and the product Mint Lassi of Essence drinks is ready to be sold in the market.
10. Launch of product- This is the final stage in which the product is finally sold in the
market.
 image
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Illustration 2: Image of mint lassi
Illustration 3: Mint lassi
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 flavour: Mint Lassi
 ingredients: Curd, Sugar, Dried mint, Ground cumin and ice
 price : $ 5
 organic products: Milk, lassi
 nutritional values table:
Nutrition Value per serving
Energy 307
Protein 6.8 g
Carbohydrates 39.7 g
Fat 9.8 g

Innovation business case for essence drink and ways of funding
Innovation is essential thing that supports organisation in gaining attention of buyers and
raising sales of company to great extent. Essence drink wanted to offer mint lassi to its
consumers (Zhu and et.al., 2017).
Requirement
It is analysed that in the third year sales of Essence drink has got down, one of the major
reason of declining sales is changes in preferences and taste of consumers. Thus, firm has to
make changes in its products and has to implement innovative ideas that may improve
performance of business significantly.
Solution
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One of the great solution of declining sales is to launch new product of lassi which
is……….people like to have this kind of item thus, this innovative will give positive result to the
Essence drink.
Innovation need
Raising sales is the essential need of company, otherwise it would not be able to sustain
in the market for longer duration. By implementing this innovative product, it will be able to
meet with its long term goal significantly(Michaelis and Markham, 2017).
Market research
In order to conduct research, Essence drink will take support of social networking sites.
This platform is very suitable in order to know more about needs and preferences of buyers. By
this way entity will be able to implement the right innovation that may help in giving commercial
benefit to Essence drink.
Investment requirement
Essence drink will require around 800 Pound for this project, in this budget firm will be
able to launch this new product successfully.
Possible outcome
This Lassi innovation will help Essence drink in raising its sales and attracting more
people towards the firm.
There can be in marketing testing through distribution of samples in the market and
evaluating the successfulness of mint lassi.
Funding options available to Essence Drinks:
Essence drink has to arrange finance for this innovation in its products. In order to get
funds it can opt various options:
 Bank loan: It is the most common way of funding, enterprise can request to bank for
business loan(Wonglimpiyarat and Khaemasunun, 2015). Many financial institute offers
credit to new business for expanding business. This money will help the Essence drink in
fulling monetary requirements of implementing new product.
 Personal capital: This is another source of fund in which owner of Essence drink will
have to invest own capital for implementing this innovative idea successfully. If firm opt
this option, then it will be beneficial in controlling over liability.
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 Retain earning: Essence drink can get fund from existing profit that mean existing profit
can be used for this innovation. This is also best way of funding because it will help in
securing ownership. Company will not have to share its ownership with any third person
and also it helps in controlling over liability of organisation(Presenza and et.al., 2017).
LO 4
Analysing the techniques which must be used by company for developing, retaining and
protecting the intellectual property
As there is involvement of the new ideas and innovations by the company there is high risk
of the copying of the innovative ideas by the competitors. The laws have been made to protect
the innovations and contents of the company so that there can be no duplicate or the illegal use of
the products or the design of the products. The following are the tools available for Essence
Drinks to protect their innovation and intellectual rights-
Patent-This tool provides the company the right to exclude others from making the same
type of product and selling in the market. This protects the companies intellectual rights to invent
new product(Thompson, Herrmann and Hekkert, 2018). The company Essence Drinks can
implicate this technique for protecting the innovation the mint Lassi.
Advantage Protection from fraud
Disadvantage Lengthy process
Strength Protect the products
Weakness Not available for all products
Effective and ineffectiveness for Essence
Drinks
Effective for essence drinks
Trade mark- This is the process in which the functioning of the company remains confidential
to the other companies. Essence drink shall use this tool in order to maintain the confidentiality
of the information regarding the mint Lassi(Saebi and Foss, 2015).
Advantage Prevention of risk
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Disadvantage Costly method
Strength Protects the methods from copying
Weakness Restricts innovation
Effective and ineffectiveness for Essence
Drinks
Ineffective for essence drinks.
CONCLUSION
With this the report conclude that new ideas and innovations are important to the
company for its fast development and success. The innovations and inventions are used to
develop the existing product and also bring the new product in the market. Here the company
Essence drinks bought the new flavour of Lassi which is mint Lassi. The report includes that
there is widespread effect of the innovations on the organisational vision, leadership, culture and
teamwork of the company Essence drinks.
Thereafter the report studied the 4Ps of innovation and the innovation funnel used by the
company. The frugal innovation is used by the company by producing the mint Lassi at low cost.
Commercial funnel is used by the company and the report also contains the New Product
Development of the product mint Lassi of the company Essence drinks. Thereafter the report
studies the innovation business case for the company Essence drinks. And the different tools
used by the company to protect the new innovation of the company from their competitors.
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REFERENCES
Books and journals
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Online
Innovation Funnel Management. 2013. [online]. Available through .
<http://www.innoedge.com.hk/innovation-funnel-management/>
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