Role of Innovation and Idea Generation in Enterprise Success and Failure

This essay explores the role of innovation and idea generation in the success and failure of enterprises. It discusses how innovative ideas can transform businesses and drive growth. The case study of Innocent Drinks is used to illustrate the impact of thoughtful innovation.

Innovation and Enterprise

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Nature of Innovation and idea generation...................................................................................1
The common factors between idea generation and innovation that lead to innovative success
or failure within an organisation. ...............................................................................................2
CONCLUSION ...............................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Ideas are the key tool for innovation. Innovation is a way to transform your business into
a new form, this is because innovation is a process which require change. A solo idea cannot
transfer innovation in a business but idea generation with a systematic approach for managing
those ideas can help a business to shake its daily routine of work and spark out new thoughts.
Idea generation is defined as process of cognitive process of creating, developing idea and
communicating the abstract of idea and visualise them. This essay suggests the role of innovation
and idea generation in an enterprise for its success and failure. Innocent Drinks is a beverage
company that sells smoothies and juices in supermarkets, coffee shops and various other outlet.
The main credit for Innocent Drinks market expansion is thoughtful innovation.
MAIN BODY
Nature of Innovation and idea generation
Business innovation or creativity is an instrument that improves the ability of firm to
retain its competitive advantage as well as put its competitor under its neck. According to the
view point of Rexhepi (2020), it has been proposed that generation of idea are the key factor for
driving innovation. It has been criticised that without an idea, there may not be enough to
execute. Execution of ideas are the key for learning and new ideas are important for an enterprise
for making any kind of change. Innovation is defined as the process of introducing something
new. In contrast to business, innovation has associated with changes made into existing business
model, technology or in operation process. Idea generation is the key for innovation, this is
because idea generation technique is a great way to introduced change in daily operations and
draw out new thoughts. Innocent Drinks is a beverage company successful in capturing major
share of UK market just because its thoughtful innovation.
It has been found that mostly innovation process includes identification of an
opportunity, generation of raw idea feed the process of innovation. Thus, idea generation plays a
critical role in innovation. Effectiveness of idea generation in innovation often relay upon the
quality of identified best opportunity. Idea generation is process of identification of problem,
creating or developing idea and communication of abstract of idea and execution of idea. Hence,
communication and planning skills are required for adopting generated idea into innovation
practices.
1

The common factors between idea generation and innovation that lead to innovative success or
failure within an organisation.
As per the view point of Farinha,Ferreira and Nunes (2018), it has been evaluated that
innovation is the key to economic growth i.e. growing more quickly by making higher profit, but
not every organise dare to be innovate. There are many factor such as factors regarding to firm,
its project and product and market related factor that influences the success of innovation or
failure at innocent drinks. Besides these a firms innovative skills and its strategic orientation also
impact the success and failure of the innovation. Idea is generated, but if wrong selection were
made, this wrong decision can affect the prioritisation of idea.
Leal-Millan, Peris-Ortiz and Leal-Rodríguez (2018) have criticised that the market
orientation and market awayness also a key factor in innovation. Only those companies are
successful in implementing innovation who really knows its customer and their expectations.
The second aspect of marketing orientation is revolves around the timing this is because, an
opportunity is available for limited of time Early introduction is ahead strategy against your
market competitor to grab competitive advantage. Delay in intruding innovation would reduce
your financial return.
Idea generation is the finest tool of innovation, but it only suitable if Innocent Drink do it
in correct manner. According to Campbell (2019), Ideation is great for an organisation but it has
been criticised that ideation can be flawed process if it is not structured effectively. There is need
of participation of superior and subordinate in idea generation technique, but it has observed that
an organisation who is more centralised or adopts hierarchy type of organisational structure
made it more complex technique of innovation. Ideation is great to identify a problem and
develop ways to eliminate the defects , but there is need of leader and facilitator who take over
the project of driving innovation.
2

CONCLUSION
Innovation is necessary for an organisation for its market survival, thus it has been
concluded that idea generation is a tool of innovation. The presented essay revolves around the
idea generation technology and its key role in driving innovation. It has been concluded that an
innovative idea is only successful if it is implemented in a structural way under the guidance of
an investigator or leader. Furthermore, it has been concluded that ideation is a great way to solve
business problem but it also criticised that if an idea executed in right time only then it will be
effective to grab competitive advantages.
3

REFERENCES
Books and Journals
Campbell, B., 2019. Practice Theory in Action: Empirical Studies of Interaction in Innovation
and Entrepreneurship. Routledge.
Farinha, L., Ferreira, J. J. and Nunes, S., 2018. Linking innovation and entrepreneurship to
economic growth. Competitiveness Review: An International Business Journal.
Leal-Millan, A., Peris-Ortiz, M. and Leal-Rodríguez, A. L., 2018. Sustainability in Innovation
and Entrepreneurship (pp. 1-9). Springer.
Rexhepi, G., 2020, July. Role of open innovation in enterprise growth. In The Future
Opportunities and Challenges of Business in Digital Era 4.0: Proceedings of the 2nd
International Conference on Economics, Business and Entrepreneurship (ICEBE 2019),
November 1, 2019, Bandar Lampung. (p. 1). Routledge.s
4