Innovation and Entrepreneurship

This assignment examines the relationship between innovation and entrepreneurship. It discusses the importance of understanding both invention and innovation for driving business success. The text highlights the need for entrepreneurs to effectively manage diverse ideas and utilize approaches like funnel and frugal innovation to bring new concepts to the market. Additionally, it emphasizes the significance of considering various factors to ensure successful innovation and invention within a business context.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
1. Difference between innovation and invention........................................................................1
2. Importance of innovation to organisations with its embedded in organisation culture and
leadership....................................................................................................................................2
3. Explain the 4Ps of innovation and how this supports capability and management of
innovation....................................................................................................................................3
4. Approaches that the organisation can take to process innovative ideas..................................4
5. Explain the steps the company should go through to derive a new and innovative
product/service............................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
An entrepreneur is a person who always comes up with a new and innovative idea at
market world which support to society in deriving well being (Audretsch and Link, 2012).
Entrepreneur focus on invention rather than innovation so that better and effective consideration
could be evaluated. This project is based on entrepreneurship and small business management
with consideration of innovation concept. For this aspect, a new idea of launching drink lead to
take place by Purity soft drink whom work as a leading soft drink manufacturer in the UK
(Purity Soft Drinks, 2018). This project will includes about invention and innovation concept
with innovation embedded in driving the organisational leadership, culture etc. it will also
discuss about the 4P's of innovation as well as approach for innovative idea by considering
funnel and frugal innovation.
TASK
The Management
Purity Soft-drink
Dated: 11th April 2018
Subject: Report regarding innovation for managing work and task
1. Difference between innovation and invention
Innovation is a process or a act of making changes to existing products and services and
lead to present it with new manner (Brem, 2011). It is really essential to determine and
understand the difference of innovation and invention among each other so that better and
supportive outcome could be drawn. Invention refer to creation of brand new product or service
at market area so that better and appropriate gain of market share would be done. Purity Soft
Drinks going to made innovation in their drinks and they have to determine the difference
between innovation and invention (Difference Between Invention and Innovation, 2016):
Basis Invention Innovation
Meaning This is a process of manufacturing of
new product and service idea which
never lead to take place before.
Innovation refer and determine as
such process where some additional
changes lead to take place in
product and services of existing
1

goods range.
Concept It is a original idea and all working
practices lead to take place in
theoretical consideration.
It define and consider as practical
implementation of a new idea
which used to take place in existing
consideration
Concentrate on It mainly done and depend on single
product and services
It could be done on more than one
product or combination of two of
them.
Responsibility For any kind of invention, major
responsibility lies for the Research
and Development department.
This could get spread in all over the
divisions of business which
facilitate effective growth
opportunities.
This define as major difference among innovation and invention which have to
understand by Purity Soft Drink while manufacturing or adding some healthy ingredients in their
product. This will assist them in deriving better and effective innovation in their drink whose
name is “Juice Burst”. This product have to innovative by a company properly with a course of
time so that better and supportive growth and development lead to take place for management
which assist in generating more profit as well as revenue.
2. Importance of innovation to organisations with its embedded in organisation culture and
leadership
Innovation refer for the additional ingredients adding to existing products and services.
This is helpful for a company to grow and expand their operations in diverse range consideration.
Innovation is important for every business concern as it enables in deriving a successful venture
(IMPORTANCE OF INNOVATION TO THE SUCCESS OF YOUR BUSINESS, 2018). Its a
competitive business environment out there where multiple number of companies are operating
thus, a small business have to be innovative in nature so that they lead to gain competitive edge
and advantage (Chatterji, Glaeser and Kerr, 2014). A important part of innovation refer with
creativity, with out any concerning creativity innovation is nothing. It will directly foster the
sales and growth of business so that better and appropriate outcome could be drawn. This
2

importance required to understand by the Purity Soft Drinks which further enables them to shape
the organisational culture and leadership: Leadership: A major part of a business are their ultimate leaders whom support to train
and guide each and every individual properly which further support in deriving better
results (Finkle, 2012). They create a blueprint on which each and every associate need to
work as per the define guidelines. Leaders always support in managing the growth and
innovation by making a firm capable to deal with diversified changes. Leaders of Purity
Soft Drinks have to shape their innovation properly rather than focusing on other
aspects. This will lead to support in define growth and vast number of business
opportunities properly.
 Culture: Another section which shape and modify the business innovation is culture.
Culture several norms and values on which a firm lead to work and respect the
determinant of society as well (Galindo and Méndez, 2014). This work could done by
managing better and variety of innovation properly so as to better and effective gain
could be focus out. Purity Soft Drinks lead to maintain and frame such culture which
suppose to support in gaining such culture which promote better and determined growth
and variability.
3. Explain the 4Ps of innovation and how this supports capability and management of innovation
Managers and leaders always support management and business to adopt changes and
variation of business. There are differ kind of changes used to take place out of them
management have to focus on define and appropriate one so that suitable growth could be
determine which further facilitate beneficial gains. Thus, innovation enables and support to gain
growth by providing satisfied products as well as better market share could be assess. Although,
management have to determine the all major kinds of innovation define at market world which
support in facilitating supportive capability and drive innovation at right place. In this respect,
four major P's of innovation would be evaluated properly in consideration with Purity Sift Drinks
which define as follow: Product Perspective: The first and initial perspective is all about the product whom have
tangible interference at business. Innovation have to take place in product of a company
so that it would lead to satisfy the number of customers. With appropriate innovation
supportive ability of a firm tend to rise high. Purity Soft Drinks lead to modify their
3

existing product “Juice Burst” as a health drink. This support in providing a competitive
edge to business and its working properly. Process perspective: Every innovation have a definite process of working which used to
follow by managers. Such process enables and support business to grow and diversified
their operations in right direction (Hall and et. al. , 2012). Purity Soft Drinks have to
follow a define process which associated with modification of their existing product
“Juice Burst”. A suitable and frequent process support in deriving better growth. Position Perspective: Products and services have to innovate as per the position of
market area. This perspective need to assess properly where business required to
understand that “does any kind of innovation required or not?” This question will going
to support them to modify their product which could be asses with the sale. Managers
have to assess this consideration as well so that better and effective outcome could be
drawn.
 Paradigm Perspective: It insinuates as a predictable working of any thing and
organizations at promote zone. Exactly when association incorporate some new and move
feature in their items than it make an impetus for associations improvement. New
considerations doesn't change the things it is just extension of new segment in their
things. Purity Soft Drink have to assume such consideration and determine and the
perspective properly for managing work in suitable manner.
4. Approaches that the organisation can take to process innovative ideas
Innovation refer to as a major process for every business on which management need and
lead to work properly so that better and associated return could be gain (Izquierdo and
Deschoolmeester, 2010). Small business associations have to modify and modernise their work
properly by innovate them through modernise sources. Like they could adopt better and suitable
technologies which assist in growth and development. Thus, for processing the innovative idea at
workplace or in business management have to adopt and work on appropriate steps which
enables and support in deriving better results. Purity Soft Drink is a leading soft drink producer
in the UK where they want to modify existing product “Juice Burst” which used to include about
certain steps for managing innovation properly:
Step 1: Increasing the mouth of funnel by increasing the base : This process involves about the
collection of information from various sources through which appropriate and possible idea lead
4

to get choose out. Business have to determine each and every source properly and then manage
their innovation in a define manner. Thus, with appropriate and suitable analysis, business
become able to gain market share and growth for concerning towards target accomplishment.
Step 2 : Screening Stage : This is a second step where screening of products and services lead to
take place. This could be done in regards with various ideas and options properly so that
management could gain appropriate market share (Kaplan and Lerner, 2010). On this level, each
and every possible alternative lead to get underpin and determine properly so as to gain
beneficial outcome.
Step 3 : Whether idea delivers on expectations: This is a final and last step where management
required to identify that product deliver the consideration as per expectations or not. For this
suitable survey and research need to get done on customers properly which assist and support in
define that idea deliver expectations or not. If it provide better growth and profit then number of
outcome for better concerning become possible in tenure.
5. Explain the steps the company should go through to derive a new and innovative
product/service
For deriving and managing a new product or service at market area, management need to
follow several number of steps which enable and facilitate to made things proper (Sahut and
Peris-Ortiz, 2014). Purity Soft Drink have to determine and underpin all major steps properly so
that they lead to drive their innovation in better and define frame of area.
 Generating new idea : First if all, business have to generate a new idea from market
area. For this consideration, they suppose to have alternatives from wider market area so
that beneficial gains could be evaluated. In this aspect, Purity Soft Drink generate a new
idea from market world where they found that users are more conscious about health
where management going to innovate the product by estimating various alternatives.
 Screening of idea: Once the idea get develop and determine next step is screening where
management have to screen the products and services. Purity Soft Drink have to evaluate
each and every idea properly so that better and effective working lead to get done
properly.
 Testing and analysis: Once the product or idea lead to test put at market area then
management have to analyse it properly. Purity Soft Drink have to done this work on
5

business customers so that their response could be involve properly and the such
information lead to get analyse and assess in better and supportive manner.
 Commercialize: Once the product lead to pass the testing and analytical stage then next
step is to commercialise it at wider market area. This will assist and support business to
grow and diversified their operations at market consideration so that better and
appropriate gain could become possible.
Purity Soft Drinks have to determine all these stages and steps properly while working on an
innovative idea which enable and support in deriving beneficial gain for long term aspect which
support in deriving positive outcome.
CONCLUSION
It get concluded from the project that entrepreneur always work forwards and try to
identify something new and innovative from market area. With such innovation and invention,
business become able to accomplish the targets properly so that better and supportive outcome
could be drawn. For this relation, they determine that innovation and invention both are differ
from each other where invention lead to take place for a new thing. On the other hand, it always
support in embedded to determine the leadership properly so that better and associated return
could be drawn. With effective utilisation of 4P's of innovation business become able to manage
diverse range of things in better and definite manner. Although, they could use funnel and frugal
innovation for processing the new idea at market world. Thus, all such essential consideration
need to understand by a person properly so that they could drive innovation as well as invention.
6

REFERENCES
Books and Journals
Audretsch, D .B. and Link, A. N., 2012. Entrepreneurship and innovation: public policy
frameworks. The Journal of Technology Transfer. 37(1). pp.1-17.
Brem, A., 2011. Linking innovation and entrepreneurship–literature overview and introduction
of a process-oriented framework. International Journal of Entrepreneurship and
Innovation Management. 14(1). pp.6-35.
Chatterji, A., Glaeser, E. and Kerr, W., 2014. Clusters of entrepreneurship and innovation.
Innovation Policy and the Economy. 14(1). pp.129-166.
Finkle, T. A., 2012. Corporate entrepreneurship and innovation in Silicon Valley: The case of
Google, Inc. Entrepreneurship Theory and Practice. 36(4). pp.863-884.
Galindo, M .Á. and Méndez, M. T., 2014. Entrepreneurship, economic growth, and innovation:
Are feedback effects at work?. Journal of Business Research. 67(5). pp.825-829.
Hall and et. al. , 2012. Entrepreneurship and innovation at the base of the pyramid: a recipe for
inclusive growth or social exclusion?. Journal of Management Studies. 49(4). pp.785-
812.
Izquierdo, E. and Deschoolmeester, D., 2010. What entrepreneurial competencies should be
emphasized in entrepreneurship and innovation education at the undergraduate level.
Handbook of research in entrepreneurship education. 3. pp.194-206.
Kaplan, S .N. and Lerner, J., 2010. It ain't broke: The past, present, and future of venture capital.
Journal of Applied Corporate Finance. 22(2). pp.36-47.
Sahut, J. M. and Peris-Ortiz, M., 2014. Small business, innovation, and entrepreneurship. Small
Business Economics. 42(4). pp.663-668.
Online
Difference Between Invention and Innovation. 2016. [Online]. Available through
:<https://keydifferences.com/difference-between-invention-and-innovation.html>.
Purity Soft Drinks. 2018. [Online]. Available through :<http://puritysoftdrinks.co.uk/>.
IMPORTANCE OF INNOVATION TO THE SUCCESS OF YOUR BUSINESS. 2018. [Online].
Available through :<https://blog.optus.com.au/business/importance-innovation-success-
business/>.
7