Innovation and Commercialisation: Importance, Impact, and Frugal Innovation

Innovation and
Commercialisation

Table of Contents
INTRODUCTION ..........................................................................................................................4
PART 1............................................................................................................................................4
P1. Explanation of innovation and determination of its importance to organisation in compare
to invention..................................................................................................................................4
P2. Explanation of impact of vision, leadership, culture and teamwork which shape innovation
and commercialisation ...............................................................................................................5
M1. Analysation of different source of innovation and and ways in which organisation can
foster and develop an environment and culture innovation .......................................................6
P3. Explanation of 4P's of innovation and use of innovation funnel to examine and shape
innovative ideas...........................................................................................................................7
P4. Explanation of development of frugal innovation and example of how it is used in context
of organisation.............................................................................................................................8
M2. Analysation and application of innovation funnel in context of organisation ....................9
M3. Appraising role of frugal innovation in context of organisation ........................................9
Conclusion.......................................................................................................................................9
PART 2..........................................................................................................................................10
P5. Explanation of importance of commercial funnel and application of new product
development processing for commercialisation of innovation.................................................10
P6. Building an innovation case for organisation and ways of accessing funds.......................12
M4. Building a detailed business case including ways in which it measure overall
effectiveness of appropriate techniques available to test, iterate and improve ........................15
P7. Evaluation of different tool used by organisation to develop, retain and protection of
knowledge and intellectual property ........................................................................................15
M5. Presenting support based evaluation of different tool in context of wider business
environment ..............................................................................................................................16
CONCLUSION .............................................................................................................................16
REFERENCES..............................................................................................................................18

INTRODUCTION
Innovation is a process of introducing new ideas, technology, service and process in
market which provide competitive advantage to market (Akinwale, 2020). It helps to satisfy
changing requirement of business and also helps to reinforce brand of company. This report
includes evaluation of Essence Drinks which is providing Strawberry lassi to their customers in
order to differentiate their products from competitors. It provide competitive advantage to their
organisation and allow them to capture more market share. This report includes explanation of
innovation and invention and also determination of difference between invention and innovation.
It contain explanation of different types of innovation and process required for
commercialisation. Moreover, it evaluate different range of method to protect ideas.
PART 1
P1. Explanation of innovation and determination of its importance to organisation in compare to
invention
Innovation: Innovation refers to a process of implementation of new ideas which results in
introduction of new products and service or improvement in existing products and service
(Bouvier, 2020). It can take place through process, products, art, work, technologies. Innovation
provide various benefits to business as it improve their performance and productivity and also
reduce cost of company.
Invention: Invention refers to develop something which is completely new in market and never
been made before. This innovation cab be in form of device, experiment, process and
contrivance. With invention, business can develop and introduce something completely new in
market which helps to provide solution to problems faced by business and customers.
Importance of innovation:
Creative development: Innovation are essential for business as it helps them to learn
things which helps them to be creative in market (Chrysaki, 2020). It helps business to develop
and learn new skills which provide them opportunities and potential in new market.
Reinforce brand: Developing brand is one of important things in an organisation as it
helps them to build positive image of company in minds of their customers. Innovation helps
company to introduce new ideas in market on basis of changing requirement of customers. This

helps them to increase satisfaction of customers which is driver of success. It provide
sustainability to organisation in maintaining their brand.
Respond towards competition and trends: Innovation helps business to bring new
ideas, product and service or improvement in existing products or service (Chrysaki, 2020)
(Ding, Zhang and Wang, 2020). It helps business to introduce new ides which provide
competitive advantage to firm. It helps them to compete with other marketing players in market
and also helps to make modification in products as per requirement of customers.
Difference between innovation and invention:
Innovation Invention
Innovation is implementation of new ideas,
product and process in market for first time.
Invention is occurrence of ideas for products
and service which has not been made before.
Innovation adds values to existing products
and service
Invention is process of developing new
product.
It is based on practical implementation of new
ideas.
It is based on an original idea or a working
theory.
It require sett of technical marketing as well as
strategic skills.
It require scientific skills for development of
new product.
It spread across organisation as all members
can participate in developing new ideas for
innovation.
It is limited to research and development
department for developing new idea or product.
P2. Explanation of impact of vision, leadership, culture and teamwork which shape innovation
and commercialisation
Commercialisation is a process of introduction of new products, process in market. This
process contains distribution, production, customer support, marketing, sales which helps to
attain success in market (Faff, 2021). It is different from innovation as innovation is concerned
with improvement of products of company and commercialisation is linked with launching of
new products for purpose of increasing revenue of business.