Innovation and Commercialization: A Case Study of Amazon Go

INNOVATION AND
COMMERCIALIZATION
2018
AMAZON GO

Contents
INTRODUCTION............................................................................................................................. 2
LO 1................................................................................................................................................ 3
P1 INNOVATION AND ITS IMPORTANCE TO ORGANISATIONS IN COMPARISON WITH
INVENTION.................................................................................................................................3
P2 HOW ORGANISATIONAL VISION, LEADERSHIP, CULTURE AND TEAMWORK CAN SHAPE
INNOVATION AND COMMERCIALISATION.................................................................................5
M1 DIFFERENT SOURCES OF INNOVATION, AND HOW ORGANISATIONS CAN FOSTER AND
DEVELOP AN ENVIRONMENT AND CULTURE OF INNOVATION..................................................7
LO 2................................................................................................................................................ 8
P3 THE 4PS OF INNOVATION AND THE USE OF THE INNOVATION FUNNEL TO EXAMINE AND
SHAPE INNOVATION IDEAS........................................................................................................8
P4 DEVELOPMENTS IN FRUGAL INNOVATION AND HOW IT IS USED IN AMAZON GO............11
M2 & M3 THE ROLE OF FRUGAL INNOVATION IN AMAZON GO AND INNOVATION FUNNEL IN
AMAZON GO............................................................................................................................ 12
CONCLUSION............................................................................................................................... 13
REFERENCES.................................................................................................................................14
1

INTRODUCTION
At present, the operations of the businesses are becoming more resilient which is creating
major problems for the businesses in every industry. For overcoming this, companies are
making new innovations and implementing new techniques for commercialization which is
helping the organizations to lead a success path and achieve great success. Here, the present
document aims to enhance the comprehensive skills and understanding of the innovation and
commercialization of the case study of Amazon Go.
The facts and figures depict that it is quite difficult for the organisations to make incessant
changes and innovate their structure, work environment, tasks etc. in the competitive markets.
Moreover, there is a need to adopt more commercial driven approaches to maximise the
Return on Investment (ROI). The unit will provide a noteworthy knowledge of the techniques
used by the organisations to become more commercial and innovative.
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LO 1
P1 INNOVATION AND ITS IMPORTANCE TO ORGANISATIONS IN
COMPARISON WITH INVENTION
Innovation is the procedure to create or introduce something which is a better solution to the
present approaches and is useful which creates more value from the customers perspective.
Innovation is an utmost important concern of most of the organisations as it plays a vital role in
the development and commercialization of the company. It is a way to create viable advantages
in the business which helps to improve the productivity, market value and profit of the
company. In general, it can be said that the innovation is the way to stay relevant in the
competitive markets by changing the way to operate. At present, innovation is only related to
the implementation of more advanced technologies, but this is partially true as innovation can
be made in any task of the organisation (Drucker, 2014).
With the help of innovation in the businesses, one can easily create a competitive advantage by
implementing new strategies and techniques. In the ever-advancing economy, it is very
important that the organisation create some new solutions to their current problems. In
addition to this, it also helps in establishing the best and most suitable methods for the
business for attaining the true commercial advantage.
Innovative businesses develop a dynamic range of services and products and in most of the
cases, innovation is termed as a better way to build a more successful business that invention. It
is said that “invention is easy while innovation is genius (or accidental)”. At the same time, there
is a term, invention, which is a completely novel product of service from existing ones that have
a proved use and may be helpful in future in any business industry (Klaus, 2013). For example,
Apple iPhone is one of the best innovation made while the mobile phone is an example of the
invention. Hence, it can be said that invention leads the organisation to new directions while
innovation leads organisations to achieve more success.
Another of best innovation is the Amazon Go store opened at the Seattle with no checkouts,
the bills of the purchases will be directly sent to the customers on their accounts. This
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