Innovation and Commercialisation: Concepts, Benefits, and Frugal Innovation

Innovation and
commercialisation

Table of Contents
Introduction.................................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1) Discuss innovation concept and its benefit to company in comparison of invention.........................3
P2) Discuss the way in which vision, leadership, teamwork and culture can shape innovation and
commercialization...................................................................................................................................5
TASK 2.......................................................................................................................................................6
P3) Discuss 4 P’s of innovation along with the use of innovation funnel to shape innovative ideas........6
P4) Development of frugal innovation with suitable examples................................................................9
TASK 3.......................................................................................................................................................9
P5) Discuss significance of commercial funnel along with the application of new product development
for commercialization of innovation........................................................................................................9
P6) Discuss innovation business case for organization along with the ways of funding........................12
TASK 4.....................................................................................................................................................13
P7) Different tools which can use by organization to develop, retain and protect the knowledge of
intellectual property...............................................................................................................................13
Conclusion.................................................................................................................................................15
References.................................................................................................................................................16

Introduction
Innovation signifies development of new product or service in order to gain attention of
individuals in an efficient manner. Main aim of present study is to examine the effectiveness of
innovation and commercialization in current environment. Innovation is about developing a new
idea so that existing issue can be addressed in proper way (Urabe, 2018). The present study is
based on Essence Drinks which is a leading drink provider of London. It was founded by
Akshay Kuman and offers elegant drinks to customers. Here, difference between innovation and
invention, 4 P’s of innovation, types of innovation are going to discuss in the following study. It
will also cover infrugal innovation with examples along with the significance of commercial
funnel. Ways of funding for innovation and ways to protect knowledge and intellectual property
will also include in the given study.
TASK 1
P1) Discuss innovation concept and its benefit to company in comparison of invention
Innovation: It is related with implementing the new ideas to introduce new products and
services in market. Here, modifications are made in existing goods or services in order to
improve overall experience of customers. It will help in facilitating uniqueness and creativity in
products. Innovation helps in improving the brand image of company by developing new
products or modifying existing ones (Evangelista, 2019). In context of Essence drinks, they can
add new flavors in their existing portfolio of drinks. With this, organization can easily gain the
attention of buyers in an efficient manner.
Invention: It is a process of developing something new which has not been developed till
now. Here, the idea is completely unique & creative. It help in developing attractive, creative as
well as unique products which will improve overall experience of customers. In context of
Essence drinks, they also need to invent new drinks in order to grab the attention of more number
of people in an efficient manner.
Innovation and invention:
Innovation Invention

 It is based on practical implementation.
Innovation is about making changes in
existing products or process of
identifying new ways.
 Innovation is the combination of
several products & processes (Dodgson
and Gann, 2018) .
 On the contrast, invention is related
with creating such products that are
entirely new.
 Invention is related with single product
or process.
Benefits of innovation:
Improve productivity: It is identified that innovation helps in increasing the overall
efficiency of organization. In this, company implements effective ways to enhance productivity
which further improve the quality of production in an efficient manner. In reference of essence
drinks, they can enhance the productivity by implementing innovative ways of production.
Reduce Costs: Innovative techniques are helpful in reduce down the production
expenses. On other side, invention is related with development of new products or services.
There is requirement to invest huge amount in order to develop a new product. By implementing
innovation, company can easily minimize the cost (Weisburd and Braga, 2019).
Increase competitiveness: In current time, it is important to maintain competitiveness so
that company can stay in market for longer period of time. Innovative tools and techniques are
helpful in developing unique and creative features which further lead company towards
competitive edge. In context of Essence drinks, they can improve competitiveness by
implementing innovative techniques in business.
With above discussion, it is identified that invention and innovation are two different
aspects. Innovation is concern with enhancing existing practices while invention is related with
designing new products. Innovation helps in facilitating enhancement within limited expenses
and resources while there is requirement of huge resources as well as time in process of
invention.