Innovation, Commercialisation & Business Development: Essence Drinks

This report provides a comprehensive analysis of innovation and commercialisation strategies within business organisations, focusing on Essence Drinks, a venture introducing healthy mango lassi to the UK market. It highlights the significance of leadership, vision, culture, and teamwork in fostering effective innovation and commercialisation. The report explores the 4Ps of innovation, the application of the innovation funnel, and the development of frugal innovation. It also examines the commercial funnel, product formulation for new product development, and the creation of an innovation-based business case with funding strategies. Furthermore, the report analyses various tools and techniques for improved business development, emphasizing the importance of understanding the nature and dimensions of innovation. The study concludes by underscoring the critical role of innovation and commercialisation in driving business growth and success. Desklib provides access to this and many other solved assignments to aid students in their studies.

Innovation and
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................2
Part 1................................................................................................................................................2
Task 1...............................................................................................................................................2
P1 The explanation and importance of innovation in development of a business organisations
................................................................................................................................................2
M1. Illustrate different sources of innovation and organisation to develops foster
development...........................................................................................................................3
P2. The explanation of vision, leadership, culture and teamwork context of innovation......3
D1. The development and measurement of innovation for achievement of target goals and
objectives................................................................................................................................4
Task 2...............................................................................................................................................5
P3.Analysis of 4Ps of innovation and application of innovation funnel to develop key
operations of the business in an unique manner.....................................................................5
M2. Critical analysis of innovation funnel in the company and its application.....................6
P4. The key development of frugal innovation and its major dimensions.............................7
M3.Analysis about role of frugal innovation.........................................................................8
D2. The financial projection of budget for the company.......................................................8
Task 3...............................................................................................................................................9
P5 Significance of commercial funnel and the product formulation in order to perform New
Product Development.............................................................................................................9
P6. Focus on innovation business case of an organisation with explanation of ways of funding
..............................................................................................................................................10
M4. Innovation based business case in detail along with application of new business approach
at the marketpalce.................................................................................................................13
Task 4.............................................................................................................................................14

P7 Analyse the different tools and techniques that companies can use for better develop.. 14
M4. Evidence based approach in applying different business tools.....................................14
D3. Focus on understanding nature of innovation along with its dimensions......................14
CONCLUSION..............................................................................................................................16
References:.....................................................................................................................................17

INTRODUCTION
Innovation is defined as an idea that has been transformed within practical reality. In
addition to this, Innovation is a process by which an organisation brings new product, ideas and
unique offerings at marketplace (Cao, Feng, and Zhou, 2020). It highlights an important role in
the overall growth which creates better development of business. As new innovation, allows the
business better opportunities to gain with more competitive advantages within marketplace.
While, commercialisation is the process of introduce new product and services with an objective
of more probability in marketplace. In case of both innovation and commercialisation leads to
the business towards better growth and success. In following report, the company is considering
Essence Drinks is one of well-established venture that started within two years before with one
drink a healthy mango lassi into UK market. On the basis of report, it includes major highlights
about how leadership, vision and teamwork can lead to an effective innovation and
commercialisation added in report. To addition 4ps of innovation along with better development
in frugal innovation is also get highlighted. There are various tools of intellectual property that
protect business image, resources, product and services etc.
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MAIN BODY
Part 1.
Task 1
P1 The explanation and importance of innovation in development of a business organisations
Innovation is referred as a process that creates new or creative by adding with certain
specification within existing product and services. In perspective of an entrepreneur, they are
innovative kind of personality and they conduct research overall market. Along with that,
entrepreneur inputs their creative ideas and skills in any kind of complex situation. Innovation
provide opportunity to company for more opportunities that further enhance performance in
marketplace and gain competitive advantages (Çengel, 2019). It also help the business
organisation to build loyal customers which will help the firm to effectively sustain for a longer
period in the marketplace.
In situation of Essence Drink company, which is one of well-established company ... In
order to retain the position within market place and enhance product performance where,
company is planning to create new innovative range of Essence Drinks.
Invention: It is defined as procedure of creating something new and unique for the first
time or something which never done before. It offers unique identification of product and
services in market which other company has not done before. With this, it helps the particular
business for measuring solutions towards specific problem which allows them to gain
competitive advantages. In perspective of Essence Drinks, invention of new drinks which would
help to sustain in the market place towards longer period of time.
In depth comparison between innovation and invention.
Basic Innovation Invention
Definition Innovation is encompassing of creation
new ideas in product and services that
creates huge impact in society (Dias, and
Ferreira, 2019). As Innovation is majorly
focus on changes that leads to inputs of
better goods and services.
Through invention, it is the
process of better creating,
designing and identifying new
and unique ideas for first time.
This is a process of creating
something within first time.
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Concept It is concept active practical enforcement
of new ideas in the business organisation.
According the concept of
invention, it involves an
original idea created for very
first time.
Skill needed In case of better innovation, the skills
which are required adaptability,
creativeness and strategic abilities.
In case of invention where the
skill is better needed which
includes with scientific skills.
M1. Illustrate different sources of innovation and organisation to develops foster development.
Innovation is generally implements with the purpose of seeking opportunities and
attaining competitive advantage at marketplace. For this, there are different sources of
innovations which is explained below in relation of Essence drink:
 Unexpected Events: This type of source that brings new opportunities for an equally
through innovation (Dincer, 2017). For example: if owners of Essence Drink innovate
new healthy drink and offer it in low price at marketplace. Now, it depends upon
customer taste, preference and demand to make product growth increase or decrease.
 Process needs: This need of innovation are those which supported by process of product.
Like in perspective of Essence Drinks, their healthy drink product growth relies on
process which manufacture or production department used.
 Demographic changes: According to this source of innovation, the modification process
happen in demographic factors due to customer changes. For Essence Drink perspective,
their team needs to measure the market on constant basis. This practise would help to
keep company enhance change in better manner.
P2. The explanation of vision, leadership, culture and teamwork context of innovation
The description Innovation and commercialisation having vital role of an important role
for business leading towards constant growth and success to generate better overall performance
of business. In case of selected company which help to make better plan for create new range of
drinks (Kedron, and Bagchi-Sen, 2017). Through proper market research, it will allows
company to brings effective innovation of product and services due to marketing technique. This
technique would help company for commercialised their product and services in competitive
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market. In following there is company related vision, culture and team work will help to measure
to innovation and commercialisation as described below:
Vision Statement: The statement of Essence Drinks company depicts that they want to
become an effective market leader along with their increasing in sales. Further, they have also a
motive to better bring different range of drinks in order to accomplish better vision statement.
Culture: It is a set of norms, values and belief which comprising about specific business
organisation culture. Through effective and positive culture would help for better motivating
employees to accomplishing desired goals and objectives. For Essence Drinks company, would
help the employees include their new creative ideas that help them to create new healthy
innovative drink product.
Leadership: According to the type of leadership style is used by the leader directly
which influence for innovation in product (Kergroach, Meissne, and Vonortas, 2018). In context
of Essence Drink company, leaders follow Participative leadership style that allows the leaders
to motivate team member for participate in decision making offers creative solutions.
Team work: By effective and cooperative team work in business organisation that helps
to company carrying out their activity with proper cooperation. In this, each team member can
contribute their skills and knowledge which beneficial towards chosen company in innovative
drinks towards available option.
D1. The development and measurement of innovation for achievement of target goals and
objectives
Innovation is a procedure that consists to be managed with long term perspective where it
can measure on the basis of two stages are:
 Identification of goal l: In this stage, the goal must be identified by company while
planning to bring changes in business (Kim, M.K., Park, J.H. and Paik, J.H., 2018). For
Essence Drink, they need to identify about their innovative goals which must establishes
brings more productivity.
 Short term deliverables: Once the goal has been identified, the next stage depicts about
accomplished for success which can be prioritized. For Essence Drink, as their goal is to
bring new flavoured fresh healthy drink as now they need to seek for strategy for
successfully implement of goal.
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Task 2.
P3.Analysis of 4Ps of innovation and application of innovation funnel to develop key operations
of the business in an unique manner
In perspective of measure about innovation process in particular business organisation
and implies the innovation process of specific business where the 4Ps of innovation which can be
adopted through Essence Drinks are followings:
Product: It is a first process, in which under new skills innovation is created by business
organisation that implemented effectively in order to enhance better performance within
marketplace. This satisfy the needs and wants of specific target customer. In perspective of
Essence Drinks, as the competition increasing in competitive marketplace to mitigate sales
reduction (Mattila, 2017). In order to enhance their sales and gain towards better competitive
advantages where the company is planning to better create a new specification of healthy drinks.
This practice can help to modifying their existing drinks as the company not wants to shift away
from Mango Lassi drink.
Position: With this, Essence drinks can target their customer who is more effectively.
But due to lack about new specification in product and services demand would get reduced. To
keeping this in mind Essence Drinks is planning to better create new innovative range of drinks
in order to attract wide range of customer with creates effective image in competitive market
place.
Process: This is defined about structure that adoptive by the company in order to
flexibility with better deliver of good and services to target specific customer (Ramljak, 2020).
This practise would prevent the company for improvement production process which is reduce
their cost. In perspective of Essence Drinks, the production and internal procedure can expand in
order to accomplish desired results with less time and increase in profitability.
Paradigm: It permit the business organisation for assort effective method of innovation
process that can flexibly carried out. This allows the business organisation to make their
innovation process easier In situation of Essence Drink company, this method would help the
company which is effective completion of their task and accomplish expected goals.
Innovation funnel: It is highly beneficial utilise during the process of new product
introduction within into market. It is by Essence Drink in form to make proper sequence of
product launching plan that ensure about long term sustainability benefit of innovative products.
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According to this funnel, it has involved certain important steps of product launching, planning
such as creative idea, proof of concept and sales. This practice is controlled by research and
development department of organisation. According to the changing of trend, product of
particular company would also change.
M2. Critical analysis of innovation funnel in the company and its application.
The general process of innovation funnel that describes about regulating of large number
of ideas which have potential to convert better formal development plans (Razak, and Murray,
2017). There are certain stages of innovation funnel which helps Essence Drink for innovative
product in market.
 Idea Generation: This is an activity which is optimise through research and
development department, that introduce with relation of product and services. In
perspective of Essence Drink, their research and development need to monitor market
opportunities and threats in current environment. According this process, company can
easily generate innovative business idea.
 Concept investigation: It is the process under which different steps are involved that are
associated with aims and objective of business. For Essence Drink, the concept
investigation process would help to tested with the support of identification for customers
and availability of better resources (Seclen, and Barrutia, 2018). All this information,
helps to accomplish the task in an effective manner.
 Feasibility study: According to this stage, the evaluation of idea that performed within
the reference of profit generated on the basis of technical, rational and economical
aspects. In Essence drinks, major responsibility of feasibility study is to recognise those
plans and innovative ideas which market can accepted and support as contributor in
behalf of business success.
 Development stage: This stage is used in order to launch for future product and services
with better considerable manner. In perspective of Essence Drink, their team need to
predict future forecast of new innovative Lassi drink product in a successful way.
 Post release phase: In this particular stage, feedbacks are generated through customer
which help company to know about the scope of improvement. For Essence Drink, this
stage support more improvement in their innovation product through the influence of
customer feedbacks.
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P4. The key development of frugal innovation and its major dimensions
Frugal innovation includes the particular procedure that is used to diminish complexness
in the task which would bring better production process for product and services . This is the key
objective which implements frugal innovation to introduce cost efficient product and services for
wastage production. Frugal innovation is helpful to eliminate those relevant aspects which are
not beneficial for the business.
 Identification opportunity in adversity: On the basis of process the aim is to finding
opportunities for prevailing problems so that it improvises organisation performance. For
Example Essence Drinks company new Pomegranate flavoured Lassi drinks with an
objective for society and environment benefit. They also introduce their new product and
services features which improvise better performance within long term sustainability in
business.
 Use less perform more: According to this step, it explains about identification of those
important resources which assorted by the specific business. So, this instruct the business
in recognising with various demand by customer that brings high efficiency in
organisation. For example, new Pomegranate flavoured Lassi of Essence drinks can
easily use their ordinary feature and so that it bring efficiency in business in order to
perform working in better ways.
 Think and act flexibility: This entitled for all those strategies which are consist very
strict and inflexible in form to introduce any change within the business in context of
needs and demand from customers. For example, new product of Essence Drink, it helps
to overcome from this issue in which their company's management team for emphasis of
improvising product.
 Assort simple methods: According to this process, it states about overall working and
operations within the business are supposed to be effective and complex. So, it is
necessary of proper understanding within the customer along with using simplicity
through continuous improvement are required in business so that attain with better
competitive advantages in market. In perspective of Essence Drinks new Pomegranate
flavoured Lassi, adopts simple method would help them for able to better identifying with
different market changes and customising product accordingly.
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 Include the Margin: In this particular step, it explains that overall customers are
considerable to be taken as process of improvement. With this, management team of
Essence drinks get support within existing product and services where business get
customer in regular manner.
 Follow the passion: This majorly depicts about the management activities of business
supposed to performed emotionally and passion. For new Pomegranate flavoured Lassi
drinks , their management team can customise their existing product and consider
potential market where company can offer innovative product and services.
M3.Analysis about role of frugal innovation
The role of Frugal innovation in Essence Drink new flavoured pomegranate drink that it
help to reduce cost and customer can easily experience its specific taste. It is related to
achieve better sustainable market demand to mitigate consumption within market. This
would be helpful for promoting better product and services that make sure about reducing
cost advantages in market.
D2. The financial projection of budget for the company
Particulars 2020 2021 2022
Receipts
Selling of clothes 35000 150000 152000
Online bookings 25000 95000 96000
Advances from clients 20000 51000 52000
Further developments 20000 50000 50000
Total receipts 100000 346000 35000
Payments
Salaries to staff 10000 55000 52000
Advertisement 5000 28000 25830
Rent of building 5000 28000 21800
Machines 20000 60000 58000
Cost of material 30000 80000 72000
Total payments 70000 251000 229630
Cash at the end 30000 95000 120370
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Particulars Amount ( In £)
Raw material 2000
Labours 1000
furniture 2600
Consumable goods 1000
Machinery 3000
Advertisement 500
Salary 1000
Total 10100
Task 3.
P5 Significance of commercial funnel and the product formulation in order to perform New
Product Development.
Commercial Funnel: It is a form of marketing tool through which business organisation
analyse better quality and trade practises of product and services to consumer. It is helpful for
company to properly elaborate the customer journey towards the new product purchase.
Importance of Commercial Funnel: Commercial funnel plays an important role in
business where it provides growth and other business related information such as pricing
strategies or customer details that helps to expand the business in competitive market. It specifies
effective process of main four marketing strategies that related to attract, convert, close and
delightful growth (Sousa-Ginel, Franco-Leal, and Camelo-Ordaz, 2021). According to these four
stages are benefit to Essence Drink new Pomegranate flavoured Lassi drinks to better analyse
market trends, demands and using of new development product which identifies opportunities
available in current market.
New Product Development (NPD): It is basically related with the process for
identifying the market area for essentials funding for launching new innovative products and
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