Commercialization and Innovation Strategies

The provided document is an assignment that delves into the realm of commercialization and innovation. It presents a collection of articles and research papers that explore different aspects of commercializing innovative ideas. The papers range from studies on renewable energy technologies to the development of product innovations, covering various themes such as open innovation, frugal innovation, and technology commercialization. Each paper offers insights into how innovation is transformed into commercially viable products or services, providing a nuanced understanding of the processes involved in taking new ideas to market.

Innovation and
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
PROJECT 1......................................................................................................................................1
Introduction.................................................................................................................................1
P1 Describing innovation and its importance to organisation in comparison with invention....1
P2 The way vision, leadership, culture and teamwork can shape innovation.............................3
Conclusion...................................................................................................................................4
Project 2 .........................................................................................................................................4
Task 1 .....................................................................................................................................4
P3 Describe 4ps of innovation and their use in innovation funnel examine ideas......................4
P4 Developments in frugal innovation........................................................................................5
Task 2 ..............................................................................................................................................7
P5 Importance of commercial funnel and new product development process............................7
P6 Build an innovation business case for the organisation.........................................................9
Task 3.............................................................................................................................................11
P7 Techniques to develop, retain, protect intellectual property................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Innovation is defined as the process of translating an ideas or invention into particular
goods and services that helps to create value, for which customers will pay. Ideas must be
effective that helps in economic growth and satisfy customer's needs and wants. It includes
applications of information, imagination and initiative which for creating unique or featured
products. This project report is based on Essence Drinks Company that incorporated before 2
years in the United Kingdom (Sandberg, 2012). In recent scenario, they are facing many
problems such as decreasing in sales of their drinks so as a innovations consultant, some
recommendation are given that helps to bring innovation in existing product line for increasing
sales volume. This project will consist explanation of importance of inventions and comparison
with innovations. It will define that how organisational vision, teamwork and leadership support
in shaping innovation and commercialisation. There are several ways that can be adopt in the
company and various approaches to develop innovative ideas would be discussed. There are
some tools and techniques also defined that organisation can use to develop, retain and protect
knowledge and intellectual property. Innovations steps helps to the company in producing new or
creative products and introduce it into the market in order to increase sales volume.
TASK
PROJECT 1
(Covered in PPT)
Introduction
Innovations is the process which helps in developing new as well as existing product with
modifications for an organisation growth. It support to create new methods for alliance creation,
joint venture, working hours and create new buyers for increasing purchasing powers of
customers so they can pay willingly. So, it helps in promoting the products and enhancing sales.
P1 Describing innovation and its importance to organisation in comparison with invention
Innovations consider new ideas which applying in business operations. In this includes
various practices that helps in converting creativity into useful goods and services for satisfying
customer's needs or wants. It can be used for retaining buyers as well as support to make them
loyal towards company with increasing its product's sales among competitors. Innovation
supports in creating new methods to develop specific products so that purchasing power of
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buyers can be created in an effective manner. Essence Company is facing critical problems
regarding decreasing sales volume because of increasing number of competitors in the market.
So, company requires to adopt new innovation like launching new variety of drinks or Lassi. It
will support in attracting more customers by experiencing something new in beverages.
Inventions: - It is the process of developing products and services. Some inventions may
be patent as it is legally protected the intellectual property rights. Inventions may be defined as
machine and improvement that did not exist previously and it recognized by genius or
craftsmanship. So it is refers to act if designing, creating and discovering methods and processes
which are not exist before.
There are some differences between invention and innovation concepts such as:
On the basis of Invention Innovation
Meaning It refers to develop new ideas
for creating new products and
services.
It is the implementation of
ideas that creates new products
and process for first time.
Concept This idea works on theory. In this, practical execution of
new idea takes place.
Required skills It required scientific skills. Marketing, technical and
strategic skills are needed for
this concept.
Occurrence In this, new ideas are
developed.
It improves the existing
products.
Activities There are limited activities to
research and development.
Its activities are spread across
the business.
Importance:-
Creates competitive advantages: Every organisation wants to achieve competitive
advantages as it is essential to develop the best ideas for unique or featured products. Therefore,
it is required to identify various strategies and techniques in business for achieving competitive
advantages. So it will help to Essence Drinks by adding more values to its products and
introduce fresh as well as unique flavoured drinks.
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Develop best methods for the organisation: It supports in establishing the best or
innovative ideas for launching new products in market that can beat competitors. It helps in
understanding unique priorities and issues which are related to specific sector and objective of
business. Company can recognise the recent available resources and opportunities for growth.
So, it helps in finding potential customers as well as identify their needs, tastes and preferences.
According to their demands, company can provide products or drinks as per the latest trends.
Essence Drinks can introduce new products or soft drinks in the market which will help
in meeting customer’s preferences and requirements. Company can increase its sales by adopting
innovation strategies in product line or production process. It will support in maximising the
profit and achieving competitive advantages.
P2 The way vision, leadership, culture and teamwork can shape innovation
Generally, organisations always try to bring innovations to attain long term growth. It
helps in increasing sales volume or gaining financial support for company. It defines the
adoption of changes as well as create something new or innovative things that attracts more
customer towards organisation's products and services for fulfilling their needs or demands. So
company use several tools and techniques to create demand of particular products and achieve
competitive advantages. There are some important elements that helps to bring innovation in the
company.
Vision: It is the statement for establishing long term goals of an organisation. In this,
objectives are to be set for accomplishing these targets effectively. Vision statement of Essence
Drinks is to become the best leading company in beverage sector by providing high quality soft
drinks to its customers.
Mission: In this, short term goals enabled for business operations. The statement of
mission defined about company that they want to bring effectiveness and efficiencies in work
productivity to attract huge number of customers for profit or wealth maximisations.
Leadership: It is most important elements of an organisation as it included capacity or
ability to influence other in order to achieve goals and objectives. So this factor support in
brining innovations within the firm. Leaders should be innovative or creative and also he must be
curious about adopting new techniques to introduce products effectively. They suggest to
company for develop adequate innovation for producing unique items.
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Culture: In this define about structure of an organisation in which business operations
takes place. It support in providing values and behaviours to maintain positive working
environment. Culture represent company's values, beliefs, norms, rules, regulations and set of
principles so it play vital role in motivating employees for better work and encourage them to
adopt new innovative ideas so they will give their best performance for developing the firm.
Teamwork: For successful organisation, coordination must be required as team work
support in achieving goals and objectives in effective manner. Teamwork helps in adopting
innovative ideas for improving existing products.
So above all these elements, it can be analysed that innovation can be adopt in Essence
drinks for improving products which will helps in obtaining targets and goals.
Conclusion
Above this project study, it has been concluded that innovation is effective tools that
develop business as well as it helps in achieving competitive advantages. Essence Drinks
company should adopt innovation strategies to survive from critical problems and increase its
product's sales.
Project 2
Task 1
P3 Describe 4ps of innovation and their use in innovation funnel examine ideas
Innovation can be viewed as applying good solutions to meet the requirements and to
keep business running successfully in the existing market and the innovation funnel can be useful
as to describe the steps of development of product or service in the form of economical and
manufacturable (Bagchi, 2010). An innovational funnel gives the graphical structure for think
that where the development is needed and putting the combination of the products in a product
concept from which we can find out the best solution out of it. Major categories are Product,
Process, Position and Paradigm.
Product: This one is the first P in marketing where the product can be tangible or
intangible service that can compete the customers needs and wants. Essence drinks like sprite
made a huge success after designing its product totally different from other black drinks in
lemonade flavour for the consumers who do not like the colour or the taste of those black drinks.
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Process: Under this model it may add or remove some different aspects to make the
product completely unique from all relative products while manufacturing it, It's the time when
different issues can come across which are related to developing the product or at the time when
it gets developed completely. Essence drinks keeps there taste different from other drinks and
they keep on doing their tastes better at points to keep the interest of the consumers.
Position: This is the model under which essence companies tries to set their position of
the products which is helpful to reach there target in the number of customers or under profit
margin (Bogers and West, 2010). Company like 7up made a drink for the customers who don't
like to have a black coloured drink and then they set there target where at some point they
reached their set target.
Paradigm: Time by time a product needs development under which it can keep the
interest of the consumers in the market for there product. Like some essence companies brings
there products with different tastes so that they can keep the interest of the consumer under there
product and make best profit out of it.
P4 Developments in frugal innovation
Frugal innovation provides ability of taking risk in a organisation. This is a cost reduction
process in which a company makes various strategy for improve their cost to attract customer's
easily. Frugal innovation is a game changing strategy for Essence Drinks in which they offering
affordable prices and quality drinks to create awareness in their customer's mind. Even more than
a strategy, frugal innovation is a whole mindset and a flexibility approach which provides growth
opportunities.
This is also presents opportunity in developed economics for many reasons. An
organisation is adapt this innovation technique to sell their products and services at the lowest
cost (Cunningham, 2011). Essence Drinks also use this technique but they never reduce quality
of their products because it can negatively impact on the consumers health.
Frugal innovation is helps to make a different value and goodwill in the competitive market at
lowest cost. There are various principal of this such as-
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Improve purchasing power – This process is basically used to improve purchasing
power of the consumers because they only attract on effective price of the products. Through this
process they can easily get various opportunity to earn more revenue from their services as well
as to connect more people in their organisation. This is also depend on the quality of the products
which they wants to offer in the market (Ettlie, 2012). For example Essence Drinks wants to
introduces new drinks in the market than they have to reduce its cost but need to provide
effective quality which will helps them to connect new customers for their products.
Resources management – Through this process organisation is manage their resources
to improve quality of the products as well as manage its cost in effective manner. Through this
process is help to utilize their all source in the manufacturing process and production process as
well as. For example This will help Essence Drinks to reduce scrap value of the product which
will provide affordable cost to others.
Redesign – In this process organisation is redesign their existing product to improve its
quality and demand in the market. This process is all based upon the market and customers need
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Illustration 1: Frugal innovation
Sources: Frugal innovation 2017.

for the new and existing product. Through this Essence Drinks can easily introduce new cost and
quality of the product which will help them to make a goodwill in the competitive market.
Role of frugal innovation
This type of innovation is used to improve quality of the product as well as make them
cost effective for the customers. This innovation helps to attract new customers toward the
organisation and their products (Gambardella, 2010). It is also help to improve their purchasing
power as well as provides better opportunity to the company to get higher revenue and
productivity easily. This innovative ideas play their different role in the organisation such as-
Shape customers behaviour – Essence Drinks provides their services and products to
their customers at lowest cost. This process helps to provide them more satisfaction toward the
new product from the existing one. This innovation is provides them new quality of product the
lowest cost which they can afford easily. This process helps to improve their purchasing power
and demand for the product. Consumers behaviour have to be more effective and smooth toward
the organisation because this is helps to motivate them for the new ideas.
Engage and iterate- Sometimes various changes in the products do not helps to provide
higher satisfaction to the customers if they introduce higher cost with their products. So it is a
important factor for Essence Drinks that they need to understand how to engage with the
customers for a long time through the effective cost and quality products. Through this process
they can easily make new customers in the market by their effective prices and services.
Provide sustainable solution- This process is helps to provide effective and sustainable
solutions of various problems that organisation faced (Godin, 2012). After this they can easily
introduce new products in the market without any treat. These solutions can be related to the cost
and quality that Essence Drinks provide to their consumers effectively.
Task 2
P5 Importance of commercial funnel and new product development process
Commercial funnel consider the concept of business which helps in identifying consumer
behaviour regarding purchasing any particular goods and services. So this concept support to the
company in knowing about its buyers and their income status. In this involves several elements
such as activity, curiosity, wants and awareness. Commercial funnel generally provides
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information to users regarding different products and services. So it is very useful for the
organisation to modify existing products or launching new item.
Innovation funnel is a technique which is used to get better outcomes and appropriate
results from the various information (Griffin, 2010). In this process organisation is use a efficient
panel in which they sort all the data which is collected by the research team of the company. This
is work in three different stages in first step they collect all the information of the market and
customers according to their need and demand, in second step they sort them effectively to get a
brief information and in last step they conclude and implement this ideas to get effective and
better outcomes from their new products and services. This process is used in a wide form
because this sis the collection of huge data at a proper place. For Essence Drinks, Importance of
this concept are as follows:
Minimising cost: Company can reduce its cost by adopting best strategies and policies
to develop production process. So improved manufacturing scenario can minimise costs of
operations and also helps in decreasing wastage by scheduling the proper steps.
Quality improvement: It is very useful for identifying better ways to enhance quality of
products. So company can provide best qualitative products to the customers for satisfying their
needs and wants in systematic manner.
Increase profitability: Essence Drinks can maximise its profit by effective utilisation of
resources and using best promotional strategies of products. It will support in achieving long
term growth and development of their business and they can become market leader on beverage
industry.
Build good brand image: Innovation in products can be support in better customers
satisfaction by providing them effective and quality products in wide range (Griffin, 2010). It
helps in building good relation among consumers and retain them for long time towards
company. So company can create strong image among competitors.
Evaluate data properly – This process is helps to evaluate all the information and data
which is collected from the market and customers to fulfil their need and demand through
different products and services. This process is evaluated through external and internal sources of
the organisation to collect brief information about customers demand and their problem which
can be about the existing products of the company. It is used to provide effective services to all
the consumers of the economy.
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Provide better outcomes and quality product – This process is basically used to
provide effective outcome to the consumers through a brief research and sorting. In a
competitive market a organisation is take challenges to provide better quality product in a
affordable price to their customers to get their higher satisfaction and good feedback (Hoque,
2011). This is basically used to provide quality product in the market not only for build strong
competition but also to improve their own quality from the existing products.
P6 Build an innovation business case for the organisation
Every organisation requires systematic as well as appropriate innovation business case
that helps in understanding several process and activities. In this includes various planning such
as-
Identifications of company's objectives: It is the first phase of this process as for
adopting innovative ideas, it is requires to identify organisation's goals and objectives for making
strategies and implement plan in effective manner (Huizingh, 2011). It will helps in aligning
these changes with overall targets of organisation.
Market research or survey: It is must required when entering in new market as survey
process helps in identifying market trends, competitors and customers choice so it is essential to
conduct market survey for analysing adequate needs, wants and demands of consumers.
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Il
lustration 2: Steps in commercial funnel, 2017

Evaluation: In this phase, innovation plan managers that evaluate appropriate activities
as well as processes to carry out particular task. So company can get best results or outcomes
with the help of innovations.
It is the best opportunities of Essence drinks as they can adopt planning structure to
develop new innovative strategies. Firm can maximise its profits by increasing sales volume and
they can build strong brand among competitors (Inauen, 2012). Company required appropriate
funds for adopting changes and make effective strategies. Investors can support in providing
financial facilities for innovative ideas and its implementation. Here several types of investors
are as follows:
Angel investors: These types of persons have lots of funds or financial resources. They
provide funds to the small entrepreneurs and start ups. Individual invests in various business with
expecting more returns or outcomes from limited investment. They follows instincts and invest
in business that are not able to attract other investors. Some of investors generally want partial
ownership in company and also in managerial decision.
Peer to peer lending: In this, these are arranged by websites which helps in brining
investors and business firms together. So company use this websites for creating a profile and
post business plan. There would be some negotiations between lenders and owners about interest
rates for investment and then lender provides funds to the business.
Venture capital funds: In this includes several kinds of investors who are not interested
in taking any kind of risks. Generally these types of investors do not want to bear uncertainties
and losses so they ask company to have partial ownership in company in which their money is
invested. They also take participation in making business decisions related to management.
Banks: bank provide funds to the small industries and start ups by following term and
conditions. There would be some formalities which must be done by both parties. Loan is also
similar to business investment (Jagoda, 2011). Company have to reveal its innovation plan and
provide information regarding innovative idea so bank will decide whether they should invest or
not.
Essence drinks can get financial support from all these above elements which they feels
most appropriate as per their innovation plan. So it is significant for the business development in
various ways.
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Task 3
P7 Techniques to develop, retain, protect intellectual property
Whenever any business or enterprises starts with new ideas and concepts and launch new
products in the market then they take a legal right and authority by government for protecting
their company from external person and company. It helps the organisation in restricting their
exchange and sharing among several business entity in a complexity to produce same thing in
marketplace through using same techniques and ideas (Kim, 2011). In this, government grant
permission to particular firm to produce products for commercial use and provide them legal
authority as well as rights that nobody can use its name for similar or substitute products. So
legal authorities provides some protections such as:
Copyrights: This method is used in the term of of provide protections by law of the
country. In this includes various protections that are provided only on tangible things such as
painting, books, novels, films, software, photography and biopics whether its published or
unpublished. So the right of copyrights is only for owner and registered person. Company can
protects from copiers who generally copy of the business and steal ideas from other organisation
regarding innovations.
Patents: It is a grant permission which is provided by government to inventor of
particular products and services. So in this, they have rights to stop anybody for making or
inventing same products as well as using or selling their products for a limited time without their
permission. So government permits for this that innovation is becoming inventors personal
property for a particular time. So company make sure about its patent and take grants from
government of a specific products and services. Essence drinks company should focus on this
methods as well as take permission from government about their products like soft drinks, Lassi
and other beverages.
Trademark: It is use for company's brand and logos. Trademark consider logo, tag line
or punchline, label and captions. So it is provided or granted under the companies act they
provide them a particular license after that no one can copy their name or other sign. Company
generally use its names, symbols, logos and tag line for their brands (Lindič, 2011). Essence
Drinks company should use trademark on their products and also mention details related to
products on the label which helps to guide customers regarding material that used in drinks.
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Industrial design: The method is used in this, that is companies to secure their product's
size, shape, packaging and its content and also various designs which is requires for particular
mark of an organisation. There are several companies who focus on designs of products as well
as better packaging that helps to attract more customers towards organisation's goods and
services. Essence company should use these tools and techniques for better designing of
particular products and services (Snow, 2011). It helps to organisation in increasing sales volume
and create demand among customers for best drinks. Essence Drinks wants to become best
leading company in beverage sector by providing better quality of drinks to its customers and
maintain relation among them which helps in making loyal to the consumers towards company.
CONCLUSION
Above the project report, it has been concluded that innovation and commercialisation is
very important concept which helps in developing business growth and achieve competitive
advantages. It support in adopting any kinds of changes as well as strategies for modify existing
products or launching new products to satisfy consumer needs and wants. There are several
components that helps in motivating innovation in firm such as mission, vision, leadership,
organisation culture and teamwork etc. innovations support in attracting numbers of customers as
well as they get attracted with unique products. Frugal innovations is another way to adopt
changes for minimising costs and reduce wastage in production process. Commercial funnel is
also essential part that support in providing knowledge to buyers about goods and services.
Company can raise its funds from various sources to develop the business and brings innovation.
Essence Drinks can follow these strategies to launch new or innovative product in the market for
increasing sales and compete with competitors.
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Online
Innovation funnel. 2017. [Online]. Available through
:<https://www.ifm.eng.cam.ac.uk/research/dstools/innovation-funnel/>.
Frugal innovation 2017. [Online]. Available through
<https://www.slideshare.net/NarendraKAgnihotri/frugal-innovation-achieving-more-
with-fewer-resources.
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