Innovation and Commercialisation

Innovation and
commercialisation

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Difference between invention and innovation.............................................................................3
Importance of innovation to company and how it gets embedded with organizational culture.. 4
4 P's of innovation and innovation funnel...................................................................................6
Frugal innovation.........................................................................................................................8
Commercial funnel and application of new product development..............................................9
Innovation business case and ways to access funding...............................................................10
Intellectual property...................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14
Books and Journals....................................................................................................................14
Online.........................................................................................................................................14

INTRODUCTION
Innovation is the process to make something new and following new approaches to the
pre-existing problems and issues. Innovation deals with the concept of having more
improvement. Innovation related to the business does not limit at being innovative in business
but also to do something differently in order to make it better than before. Developing a new
product needs creation, innovation, improvement and enhancement. Creativity is the process of
turning new and imaginary ideas into an actual working reality (Dincer, 2017). Creativity is
defined as the capability to find new ways and look into hidden patterns. It helps in building the
connection between some unrelated situations which will generate new solutions. The process of
creative requires the use of imagination into the already created ideas. Commercialisation is the
process which includes managing with the aim of having financial gain. It helps in launching
new products and services into the market.
The actions included in commercialisation are to produce, market, distribute and sale
along with customer support which are important in achieving the commercial success of the
business. Commercialisation is usually related to the growth and development of small business
which runs on high levels to attain success and find the ways to operate in large markets. Essence
drinks is a newly started company which operated in the market of UK. The company has gained
a lot of profit and growth in its early stages. Essence drinks launched a new product which was a
healthy mango lassi in the operating market. This was a innovative approach which run with a
good distribution formulae (Do, and et.al., 2018). After few years of good profits, the company is
now facing a decrease in sales and the solution to this problem lies in having more innovation in
its product. This report deals with the basic meaning of innovation and its difference from
invention. There are many types of innovation, following which will help the company grow.
MAIN BODY
Difference between invention and innovation
Invention is the process under which new idea for the product or services generated and
that idea has never seen before by anyone. Innovation refers to implementing the idea for
launching innovative products or services for the first time. Under invention new products are
created whereas in innovation new product is not made but value is added in the existing product
so that its value can get increases in the market (Jefferson and et.al., 2018). When a company or

an individual comes with fresh new idea then that is invention and also invention is related to
theory only. While innovation means applying practical idea into reality like to launch new
product or services. Invention cannot perform easily because it requires special skill. As any
person who is not having certain knowledge or have the skill cannot invent anything.
But in innovation no extra scientific skills are required as it only requires skills like marketing,
strategic, sales, technical etc. invention takes place when any new idea comes in the mind of
scientists whereas innovation is opposite to it because it takes place when company realized that
in order to increase their market share new product have to launch in the market. Company also
do innovation or improves its existing products when they realize their customer preferences has
shifted. Invention revolves around particular or single product whereas innovation concentrate on
multiple products and services at one time. Invention is not the cup of tea for everyone so that is
why it focuses on one thing at a time while innovation is easy to do as compare to invention and
also does not require high knowledge like invention. Invention is done by the company's research
and development department and innovation is spread in all the departments.
As research and development department have the expertise to perform innovation. Invention
consumes more time as compared to innovation (Crilly and Firth, 2019). Invention is also costly
when compared with innovation. Invention is the theory while innovation is implementing those
theories into practical life. Invention introduces something new to the world while innovation
makes those products and services which can be sold. Invention is something original while this
is not with innovation. Innovation considers changes in existing products whereas invention is all
about making something new. While doing invention an individual or team must have sort of
expert knowledge of the area where they want to do invention. In contrast innovation does not
require any expert knowledge because under this no new product is created but modifications are
made in the existing product only.
Importance of innovation to company and how it gets embedded with organizational culture.
Value of innovation to organisation:
There are many benefits which innovation can bring to the company. It can be helpful in
taking competitive advantages (What is the Importance of Innovation to an Organization., 2019).
As nowadays the market is quite competitive so if company want to survive in the market then
they must launch innovative products which can attract new customers and also helps in
retaining existing one. If business want to survive for long period in the market then they have to