Innovation and Commercialisation

Please notice that my chosen organization is Tesco. The report has to be about Tesco. Thank you! Plagiarism free. Use Harvard referencing. Thank you!

Innovation and commercialization

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
LO 1.................................................................................................................................................3
P1 ...........................................................................................................................................3
P2............................................................................................................................................4
M1...........................................................................................................................................5
D1...........................................................................................................................................5
LO 2.................................................................................................................................................5
P3............................................................................................................................................5
P4 ...........................................................................................................................................7
M2...........................................................................................................................................8
M3...........................................................................................................................................8
LO 3.................................................................................................................................................9
P5 ...........................................................................................................................................9
P6 .........................................................................................................................................11
M4.........................................................................................................................................12
LO 4...............................................................................................................................................12
P7 .........................................................................................................................................12
M5.........................................................................................................................................13
D2.........................................................................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
The innovation is a process of translating an idea, new thought into goods and services of
company which is creates more values of products and customers will pay for this product and
services. In context of business, innovation often results when company add ideas into company
for satisfying needs and wants of customers in proper manner. In this report me as a trainee brand
strategy innovation consultant will address the different concern related to Tesco and provide some
recommendation to improve the same. The present study is based on “Tesco” which is one of most
the largest retail sector company in UK but in the recent past Tesco has seen a fall in the sales of
the company due to increasing competition in the market. The report will explain innovation and
compare with invention. This will also explain leadership, culture, vision and team work better
for giving shape to innovation (Christensen and et.al., 2016). Report will use by 4 P's of
innovation and its application of funnel innovation as well as develop by frugal innovation for
company. The report will explain by the importance of commercial funnel and application of
new product development. This will also build a business case for an organization by evaluating
different tools to develop and protect knowledge of property intellectual.
MAIN BODY
LO 1
P1
Definition of innovation:
It is the process of translating an idea or invention into a good or services which can
creates values for customers.
Importance
This is important to manage and solve problems easily and increase productivity. This
creates more flexibility for TESCO.
Innovation is the process of putting ideas and new thoughts into workplace for increase
values of product and company at marketplace. The innovation is help to satisfy needs and
expectations of customers with company. Innovation is take place of supply better services with
lower price rate to customers by fulfilling their needs. The customers need include those internal
department and stores as well as shoppers. For example: Tesco is the British multinational
corporation in the UK. It is third largest company in the world which is measured by gross

revenues (Dutta and Folta, 2016). The company is well-known for their day to day innovations in
marketplace. That is help to develop customers attractions. They innovate new concept Hoole
mobile app which allows customers to place orders of coffee, before even reaching the till.
Company continuously innovate range of apps for new high speed, tablet, shop roll out and so
on. Tesco is inspires world through creating innovative products at marketplace.
Invention:
Invention is generally defines as a new creature which has been created and made for the the first
time to be used by the other in the nation.
On the other side, invention is process within an overall product development process. It
is the process of making something for commercial purpose. For example: Tesco is put more
efforts into invention. For managing project team effectively company invent NCD process.
Through, that team is able to give solutions for innovation in process.
Comparison between innovation and invention:
Innovation Invention
 Innovation refers to making changes in
existing products and services in proper
manner. For example: due to
globalization “Tesco” is produce
different mobile apps for attract more
customers.
 Invention is referred creation of a
brand-new product and services at
market place (Festa and et.al., 2016).
For example: Tesco invent anyway
spray cleaners for households.
 As compare to the innovation,
invention is the thing which is made or
created for the first time. There was no
basis available to perform the invention
but there is basis in the innovation.
 Innovation are not patent. For e.g.
TESCO is one of the major innovation
which carry the renowned brand name
in market.
 Few invention which are unique carry
the right of patents under the patent
Act. For e.g. Telephone, electricity

P2
Organizational vision:
Tesco is third world's largest retailer company which is deals in different and various
products which are helps to company in order to attract more customers. The company have
vision to be the highly valued business by the customers serves, operates with communities,
loyalty and committed to employee. Tesco manager conduct effective research actively through
R&D department for future growth and area of working in proper manner. This help to improve
future growth and advanced technology for company (Goffin and Mitchell, 2016). As the visions
of the company is to satisfy the need of the customer in the organization but as in the rapidly
changing environment the need of the customer is also changing. Tesco always used to research
the market and on the basis of the same used to perform the innovation or invention to satisfy the
need of the customer.
Leadership style:
The leadership style is techniques to managing human resource in company according
goals and objectives of company. The democratic leadership style followed by Tesco for better
work and respect of innovation. The better leadership style is help to better result of work in
proper manner. For example: Tesco is followed democratic leadership style, in that they take
views and ideas of employees in respect of innovation but as all the employee are having the
different sort of the idea in the organization. The leader in the organization used to take the
opinion of all the employee and on the basis of same used to conduct the different innovative and
invention in the organization.
Culture:
Tesco has implement team oriented culture that ownership of foster innovation and
personal growth of company with meaningful solutions and quality of products. The team
oriented culture is make values, attitude and behaviour shared by the team work in effective
manner. In these employees are work together for achieving common goals of company.
Teamwork:
Working in the team is created more brainstorming and build collaboration with people
for achieving goals and objectives of company in respective manner (Hora, 2016). This help to
give shape to innovation in proper manner with work together as tesco used to get the support of

more than one brain in bringing out the different idea related to the issue which is faced in
bringing innovation and invention.
The organizational vision, teamwork, culture and good leadership style help to give
proper shape to innovation by satisfying needs and wants of customers in proper manner.
M1
There are different sources of innovation:
 Changes in market and industry structure made the reason of innovation in existing
product. For that Tesco is always looks for rules and regulations for innovation.
 Changes in perception of customer demand is the main source of innovation. When
customers taste is change then company think about innovative think for existing
products.
 Demographic change is the another source through which innovation can be sourced in
the organization as innovation opportunities made possible by changes in the numbers of
people.
 New need and Process need is the another source through which innovation can be
brought in the organization.
D1
Innovation is developed inn the Tesco then they identify the short term goals for
exploring different activities (Jin and Cedrola, 2018). In that employees are plays an important
role if they perform effectively and share innovative ideas of innovation then they can embed
innovation in company. Management of Tesco is demonstrated the capability of employees for
develop and create meaningful innovation.
LO 2
P3
Innovation deals with the proper process by which Tesco think about new services and
create new idea. Radical innovations are focused on developing revolutionary new technologies,
markets, and business models that change the world. Incremental innovation refers to innovation
processes that seek to improve existing systems and products to make them better, cheaper or
faster The 4P's of innovation are as follows:

 Paradigm: This is pre planned process by that company face changes in existing
products. Tesco is plan how to innovate new changes in existing product. In the
technological sector, they radical changes help to company.
 Product: Product is main elements by which Tesco used to sell product for future growth
and business goals. In order to pull customers towards company is provide the best
quality of goods and services (Khan, 2016). Process: Process is refers the changes in ways things are created for customers as well as
deliver
 Position: Position of innovation and new product is depended on advertising process of
company. The Tesco is more efficient for their advertising process for better attraction of
customers.
Innovation funnel:
The innovation funnel is the prefect mechanisms which is change a idea which create
new thinks that can be analysis for viability in effective manner. This is effective and valuable
Illustration 1: 4 P's of innovation
(Source: Innovation Space 4P’s, 2016)

management process which is used by company to create an innovative products and services
within the company for success.
Innovation funnel for Tesco: First, throughout the collection of proper information from market place create the good
senses of innovative product as well as services at marketplace. Second, Evaluation of ideas which are come through collection of information is the
better aspect for better work and for its growth. Here is Tesco manager screening and
analysing different ideas and select one from this process (Tang and et.al., 2018).
 As the end of the stage, Tesco manager is decided to implement that innovation is
company and its production process for more growth of company.
P4
Frugal innovation is effective process which help to reducing complexity and issues from
their production system. This is very important process of innovation because it helps to make
lower cost production by using the better quality of raw material for innovative product. Tesco
manager is use innovation process to make new product positively.
Illustration 2: Innovation funnel for Tesco
(Source: Innovation Funnel, 2016)

Example:
Tesco is deals in different products and services to attract more customers towards
business and for its growth factors. The company is use Hoole app mobile app for order coffee
without reaching till (Tidd and Bessant, 2018). This app is easily understood by only some
people who have knowledge of apps uses but another are not able to run this app which is
complex for using unknowledgeable people in UK and other country.
Frugal innovation for Tesco:
Tesco is more engaged with their customers by using different technology and social
media apps for work. The technology is help to reduce time of shopping in time shortage work.
Like a Hoole mobile apps is only takes orders of coffee without reaching tills in the shop which
is more suitable for company and its growth factors. With the help of this manager, connect with
their customers. Also, able to getting ideas and information that are related to needs and wants of
customer. Nowadays people are more engaged with technology and social media apps for work
and shopping fast. This is the best ways to connect with more customers in proper manner. This
creates extra benefits for the business and for its growth factors in respective manner.
M2
It is more essential for the company because that is not limited to produce new product
and innovation. Innovation funnel is the effective management process which is needed for each
ideas continuous used and compared against the numbers of rules. The innovation funnel is
based on three stages which are as follows:
 Mouth of funnel is help to addition information for innovative product. In that process
manager have to gather and collect more information in order to create new products
(Tran and Ravaud, 2016).
 Narrowing funnel is important to understand by manager for ensuring about the selected
product is beneficial for achieving goals.
 Narrowed part here manager is decided to give shape products and services as per
collected information.
M3
Frugal innovation plays important role in organization for achieving goals of company
with the help of new product and services launches. This assesses the lower cost, good raw
material and products that are designed by company for developing emerging market customers

(Weyrauch and Herstatt, 2017). This role is provided great platform to Tesco for lunching new
product and services at lower production rate and price.
LO 3
P5
Innovative business case for TESCO
Commercial funnel is called as sales funnel which is step by step process which is allows
bringing customers one step closer for often and buying product and services through series of
marketing actions. This plays a very important role in company to for improve sales of products.
 The commercial funnel is help to pick any market strategy by analysing market needs and
wants.
 This help to analysis relation of customers with product of company in effective manner.
 This help to generate more sales by making and implementing new market strategy.
 This is important for Tesco to improve ways with company can grow in the marketplace
by using more channels of promotion activity in effective manner. This creates moer
effectiveness for business and for its growth.
There are different stages which are help to develop new product at market place and within the
Tesco. Teso is looking to bring the Hoole mobile app.
Illustration 3: Commercial funnel
(Source: 5 Reasons Why the Sales Funnel is Important, 2018)

Step: 1 Idea generation: It is the first stage of NDP where Tesco manager is generate ideas for
innovation by analysing market needs and wants. Tesco is deals in various consumer products is
like books, shoes, drinks as well as services is Hoole mobile app and others (Naqshbandi and
Jasimuddin, 2018). Through the analysis of market Tesco manager is want to introduce their
own new mobile phone in the market.
Step: 2 Idea screening: here is manager of Tesco is screening the ideas of new product
development at market place in respective manner like it is best for company growth or not. As
there are many type of the app which was available in front of the manager but as they are
looking to introduce the app with multiple function they have decided to bring new mobile.
Step: 3 Concept development and testing: This is the third step where Tesco manager test their
idea. It is the detailed and blueprint of the idea. This help to understand that concept is suitable
with customers. It is the stage where the different department were making the design and plan
of Hoole mobile app.
Step: 4 Product analysis: This stage manager of Tesco is make sure about the product
development which is prefect as per requirement of customers in respective manner.
Step: 5 Production development: Here, is manager is make and build production process for
making products. The production is the main process of new product development cycle because
through that product is completed in finish goods by using different machines and technologies.
At this stage the IT department in the organization were making the new mobile in the
organization.
Step: 6 Test marketing: Test marketing is the best concept where manager is ensured about the
product is actually beneficial or not. In respect to Tesco manager is provided sample mobile
phone to their employees for use and give feedback as per product response. On the others side,
also provide lower rate product to customers for test (Neumann and et.al., 2017). At this stage
the company has decided to test the outcome of the app by comparing it with the competitor
product.
Step: 7 Commercialization: This refers the advertising channels for promoting product at market
place. For that, manager of Tesco is use TV channels. YouTube and posters for giving detailed
information to customers about product and services. At this stage Tesco has taken help of TV
add and social media marketing.

Step: 8 Review of market performance: Here, Tesco manager is take review of mobile market
performance it is positive or negative by taking response of customers. If it is positiver than it is
profitable for company, but it is negative than company have to more work on product to convert
negative aspect in positive growth.
New product development for Tesco
Company is looking to bring the own mobile phone in the market.
Features:
 Speed up to 2.4 kpbs.
 Voice calls
 NCR high speed checkout product.
Sales and marketing:
 Social media sides
 Lower price rate for selected customers.
Target audience:
 Youngsters
 All age group specially for old people.
P6
Innovation is essential and important think. This is help to company for build sales of
company by introducing new product at market place in effective manner.
Business case create:
Creation of business case for company that is help to take approach in order to check
opportunities and different steps. This help to company for demonstrate values of products.
Cost analysis:

The cost analysis is the important think, this is help to analysis price of product as per
customer and market needs in respective manner (Oliveira and et.al., 2016).
Clarify opportunities:
The opportunity is a main part of product development which is created more flexibility
for products and services. This help to increase sales of mobile phone at marketplace by
increasing profit margin.
Innovation need:
Innovation is needed for company because of more customer attraction and increase
profit margin because they think current profit is not enough as per sales and product.
Market research:
Market research is the another think which is created more opportunity for business as
per customer demands. For that manager is take support of social media and R&D team.
For that Tesco is required funds for that here option available at market place those are as
follows:
Bank loan:
For introducing this product company need to take loan form bank because it is more
expensive as per market analysis in proper manner (Tidd and Bessant, 2018). Bank loan is the
safe process of funding.
Venture capital:
Venture capital is the another think which is created more effectiveness. This is also the
effective funding option for companies.
M4
Tesco is the retail of super and hyper market. Now they wanted to lunch new product that
is Mobile phone with NCR feature. The company manager can measure performance of product
by taking feedback form customers. Like: if feedback come with issues than it is not good and
feedback have not any issue than it is beneficial for the company and for its growth factors. This
unique and attractive product.

LO 4
P7
Intellectual property is a property rights that is includes intangible creations human
innovation. Here is shows the different intellectual property rights for company growth. Those
are as follows:
Patent:
The patent is effective exclusive rights to produce their new ideas for a certain duration
of time in effective manner without any fear. This creates more advantages and disadvantages for
Tesco. Those are as follows:
Advantages Disadvantage
 This give right to Tesco for stop
copying of their ideas with unwanted
people and competitors (Weyrauch and
Herstatt, 2017).
 This is get protection for a pre
determined period.
 In that company required proper
technical knowledge for work.
 This is very time-consuming process.
Copyright:
Copyright is resemble patents, this provides a selective right to owner for new product
development concept. Tesco can use this but after knowing advantages and disadvantages of
company are as follows:
Advantages Disadvantage
 This includes the statutory life of
product and services at market place in
effective manner.
 This provides extra beneficial by the
infringer or constitutional harms.
 This is the secure statement of an idea
but not a simple idea (Dutta and Folta,
2016).
 Genuine innovation is not get copyright
assurance.

M5
These tools are highly beneficial for Tesco because it provides a various and different
advantages and benefits to company which are as follows:
The intellectual property are creates high paying jobs in effective manner at IP intensive
industry which are anticipated to grow faster next decade in national average.
D2
Innovation is the effective opportunity for the business and for its growth. In that required
to collect evidence for good innovation (Christensen and et.al., 2016). For that Tesco is Take
support of R&D department and make effective use of product as well as feedback form
customers which is creates the biggest opportunity for Tesco.
CONCLUSION
From the above study it had been concluded that the innovation as well as
commercialization had been essential for company to increase profit margin by sales of product
and services in effective manner. The report had been concluded that the vision and leadership
style helps for giving proper shape to commercialization. The report had been covered by the
funnel innovation and frugal innovation for best product development by reducing cost of
production. With the help of NDP process manager has able to analysis growth of product by
making case. The intellectual property right gave safety to product ad idea at marketplace.

REFERENCES
Books and Journals
Christensen, C. M. and et.al., 2016. Disruptive innovation: Intellectual history and future paths
(pp. 1-52). Cambridge, MA: Harvard Business School.
Dutta, S. and Folta, T. B., 2016. A comparison of the effect of angels and venture capitalists on
innovation and value creation. Journal of business venturing. 31(1), pp.39-54.
Festa, G., Cuomo, M. T., Metallo, G. and Festa, A., 2016. The (r) evolution of wine marketing
mix: From the 4Ps to the 4Es. Journal of Business Research. 69(5), pp.1550-1555.
Goffin, K. and Mitchell, R., 2016. Innovation management: effective strategy and
implementation. Macmillan International Higher Education.
Hora, M., 2016. From Innovation Success to Commercialization Success: Technology Ventures
and the Impact of Alliance Partnerships. In United States Association for Small Business
and Entrepreneurship. Conference Proceedings (p. CS1). United States Association for
Small Business and Entrepreneurship.
Jin, B. and Cedrola, E., 2018. Product innovation: Core to continued success. In Product
Innovation in the Global Fashion Industry (pp. 1-33). Palgrave Pivot, New York.
Khan, R., 2016. How frugal innovation promotes social sustainability. Sustainability, 8(10),
p.1034.
Naqshbandi, M. M. and Jasimuddin, S. M., 2018. Knowledge-oriented leadership and open
innovation: Role of knowledge management capability in France-based
multinationals. International Business Review. 27(3). pp.701-713.
Neumann, L. and et.al., 2017. Knowledge transfer in the context of frugal innovation. In ISPIM
Conference Proceedings (pp. 1-11). The International Society for Professional
Innovation Management (ISPIM).
Oliveira, M.G. and et.al., 2016. The Front-Hub of Innovation: rethinking the front-end of the
innovation process. In R&D Management Conference.
Tang, M. and et.al., 2018. Green innovation, managerial concern and firm performance: An
empirical study. Business Strategy and the Environment. 27(1). pp.39-51.
Tidd, J. and Bessant, J. R., 2018. Managing innovation: integrating technological, market and
organizational change. John Wiley & Sons.
Tran, V. T. and Ravaud, P., 2016. Frugal innovation in medicine for low resource settings. BMC
medicine. 14(1). p.102.
Weyrauch, T. and Herstatt, C., 2017. What is frugal innovation? Three defining criteria. Journal
of frugal innovation. 2(1). p.1.
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