Innovation and Entrepreneurship: Concepts and Strategies

This assignment provides an in-depth examination of innovation management and entrepreneurship, covering various topics such as open innovation, industry platforms, financial development, knowledge forms, and technological innovation. It also discusses the 4 Ps of innovation mix, the triple helix model, and the impact of innovation on business performance. The assignment is suitable for students studying business, economics, or related fields, and provides a valuable resource for learning about innovation management and entrepreneurship.

Innovation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Explanation of innovation and determine its importance to organisations...........................1
P2. How Organisational vision, leadership, culture and teamwork can shape innovation and
commercialization.......................................................................................................................2
TASK 2............................................................................................................................................3
P3. The 4Ps of innovation and the use of innovation funnel......................................................3
P4. Explain developments in frugal innovation..........................................................................4
TASK 3............................................................................................................................................5
P5. The importance of the commercial funnel and the application of new product development
.....................................................................................................................................................5
P6. An innovation business case for an organisation including ways to access funding............7
TASK 4............................................................................................................................................8
P7. Evaluation of the different tools that company can use to develop, retain and protect
knowledge and intellectual property...........................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
INTRODUCTION
Innovation is an
action or process of developing something new by using new ideas, creative thoughts and new

imagination in from of device or method. It can be a process of translating and converting an
idea and invention into a good or service which create value or for which customer will pay
(Anderson, Potočnik and Zhou, 2014). The future of brands is described through new products
and services, helping to bring a brand strategy to life through a value proposition and tangible
customer experience. This assignment is related to Essence Drinks which manufactures soft
drinks and founded by Akshay Kumar. This report will discussed about innovation and its
importance and organisational vision, leadership, culture and teamwork that can shape
innovation and commercialization. Further will defined about different types of innovation and
the process required to commercialization innovation. Evaluation of the different tools that
organisations can use to develop, retain and protect information and intellectual property.
TASK 1
P1. Explanation of innovation and determine its importance to organisations
Innovation- It describe as a process which consists different activities to uncover new ways to
do things. It can be explained as the act of making, inventing or producing something and
making innovation in existing products and services. Essence Drinks was founded two years ago
by Akshay Kumar as Beverage firm which produce healthy mango lassi in to the UK market.
The company is facing issues due to new competitors in the marketplace. So the innovation is
important and essential for the company so that the organisation can make sustainability and
survive in the market till long period of time.
Innovation consist the process of bringing new goods and services in the market by
making innovation within them by using ideas and creative thoughts. It is very necessary for
Essence Drinks so that they can make improvement and declining sales and profit margins of the
company. With the help of innovation, , Essence drinks can provide satisfaction to its customers
by providing products and services according their needs and demands (Autio and et. al., 2014).
The firm can manufacture their new organic fruit juice with different flavours in the marketplace
with the help of innovation.
Importance of Innovation
If the company want to manufacture its new drinks with innovation to make improvement
in the sales and profit, there are different innovative ideas and suggestions are as following:

 The firm can apply innovation block chain technology to make transparency in its supply
chain. With the help of this technology, it can remove the issues within the supply chain.
 Innovation is important for the organisation because it help in promoting the new
products and services at marketplace and increasing the awareness about the products
(Bernstein, 2015). Essence drinks can use social media and web advertisement
technology which help it to provide information its target audience.
Difference between Innovation and Invention
Basis Innovation Invention
Definition In Essence Drinks, it is the
process of generating new
ideas and thoughts in context
of a firm so that applied them
to make improvement in the
productivity and profitably of
the firm (Chesbrough and
Bogers, 2014).
It refers to the process of
enhancing new tools, methods
and techniques etc. so that the
management department of the
company can effectively and
efficiently carrying out its
activities and operations (Hsu,
Tian and Xu, 2014).
Focus Innovation make focus on the
improvement of the existing
products and services for the
purpose of making innovation
in their efficiency (Etzkowitz
and Zhou, 2017).
Invention focus on the
recruitment of new employees
so that they can help in
developing new products and
services of the firm (Drucker,
2014).
Concept The concept of innovation is
making improvement in the
existing products of the
organisation (Camisón and
Villar-López, 2014).
The concept of it is to make
development in new products
and services in order to make
satisfaction in the needs
demands of the customers
(Berry and Berry, 2018).

P2. How Organisational vision, leadership, culture and teamwork can shape innovation and
commercialization
Now these days business are based and focused on innovation so to compete its
competitors and sustain till long period of time at market place. Team work, vision, leadership
and culture are important for running the innovation in the company. They are described as
following:
Vision- It refers to the main objectives and goals of the company whc8ih help the
organisation in executing their activities, operations and functions to attain them. In Essence
Drinks, the vision of the company is to become a major player in beverage sector and earn huge
profit ad market share in the market (Chesbrough and Bogers, 2014). With he help of its new
organic juice product idea, it can achieve its vision and increase the sales and profit of the
company by enhancing productivity. With the help of innovation, the firm can attain its vision
which is attracting various customers an fulfil their needs and demands.
Leadership- It is another factor which play an important role in increasing the sales and
profit of the company. Within in an organisation, leader is an essential resource which help in
motivating and providing guidance to the employees so that they can help the company to
achieving its set objectives. They help in providing training and organising training and learning
programs and sessions so that employees and workers can make improvement in their skills and
knowledge. So that they can completed their task and work in a proper manner or in given period
of time. With the help of leadership, the manger can motivate and lead the workers so that they
can help the firm in making innovation.
Culture- It is also helpful for making improvement in the sales and profit if Essence
Drinks. Because it the culture of an organisations healthy and friendly, it provide motivation to
the employees and they doing or completing their work effectively and efficiently. When the
organisation make innovation in its products than it consider the culture of the customers and
nations where they are belong.
Team work- It is the main and important factor that help in running the operations,
activities and functions of a company in innovative manner. Inn Essence Drinks, if the
employees are working in team then they can easily completed their work and make innovation
in the products or services with the help of different ideas. When employees are working in a
team, they can completed their work in set period of time or attain their aims and objectives such

as increasing sales and profit. When the firm make innovation in its products and services than
with the help of team work, they can effective provide shape it and attract various customers and
help in increasing productivity.
TASK 2
P3. The 4Ps of innovation and the use of innovation funnel
4Ps of innovation
Innovation is important for making technological change in the organisation. It beneficial
for the company because it help in attracting number of consumers towards the products and
services which are manufactured by the company (DiMasi, Grabowski and Hansen, 2016). Now
these days taste and preferences of customers are changing and they create issues and problems
for the business of the company. For managing these issues and problems, Essence Drinks can
apply and use 4Ps of innovation and they are as following:
Products- It is the first step of new product development in which the organisation can
making innovation its existing products by using extra ingredients or by launching new products
and providing to the consumers (Drucker, 2014). In Essence Drinks, the company manufacture
new product organic juice according the needs and demands of its products by making
innovation.
Process- It refers those activities by using a company make innovation or producing a
good and service. In Essence Drinks, by implementing innovative tools and machinery, the firm
can making innovation and ensuring that it can successful in delivering quality products and
services to it target audience. This implementation help the company in increasing the sales and
profit margins by providing good quality products to its customers.
Position- It refers to a method by which a company can position their products and
services in the market for the purpose of increasing sales. The firm can determine the market by
high level use of healthy food products. With the help of online services and applications it can
attract online customers. Because now these days, people prefer online purchasing which help
the company to increase the sales and earning huge profit.
Paradigm- It refers to the process when a product sustain in the market till a long period
of time. In Essence Drinks, if the company use innovation in its product or using extra

ingredients and producing new products by using new tools or techniques. This help the
company in sustaining the market till long time and retain more customers.
Innovation Funnel and its uses
Innovation funnel is a mechanism that enables a constant stream of ideas that can be
screened for viability. The concept of innovation funnel refereed to the management process
which is popular approach for innovation that is used by organisations to create an innovation
and realistic action plan. The process of making improvement in a product and service of a
company is known as innovation funnel. There are various different steps that can be helpful for
the company because they provide modification in the goods and services in effective manner.
This process contains 3 stages in which ideas are collect from employees and customers in
context of developing a new product.
Source:Innovation funnel, (2017).
After it, a correct and suitable idea is chosen from various ideas and implemented on the
new product (Etzkowitz and Zhou, 2017). In Essence Drinks, the model of innovation funnel can
be used by the management department because it is important for the organisation to monitor
the steps and measures them . So that it can applied the required and necessary strategies for the
new product development.
P4. Explain developments in frugal innovation
Frugal Innovation
It refers to the process of reducing and decreasing the complexity and cost of a goods and
its production. Basically it is the process of moving non-essential features from a durable product
Illustration: Innovation funnel

which are make contribution in the growth of the business in term of increasing sales and profit
(Gawer and Cusumano, 2014). In Essence Drinks, the management department of the company
can use Frugal technologies so that it can make innovation in its products and services so that
they can provide it according to the needs and demands of their customers on affordable prices.
Frugal innovation is a process which reduce and minimize the complexity and cost of a goods
and its production. Frugal innovation consist six principles, they are as following:
Sustainable solution- For the sustainable solution, it is necessary that the firm should
focus on the hurdles and problems of the company for eliminating them. With the help of it, the
management department of the company can resolved the issues and help in increasing the sales
and profit of it and make contribution in the growth of the company.
Asset Flex-The firm require needs to divert towards innovation while developing the
product so that proper and better strategies can be developed. Through this, company can satisfy
their customers which will also assist the firm in sustaining in the market.
From consumer behaviour- In Essence Drinks, the management department of the
company can monitor the customers needs according their taste and preferences and providing
products according to them. It help in increasing the profit and sales of the company.
Iterate and Engage- With the help of this principle, the management department of the
company can use and implement appropriate and effective technologies and strategies or
methods for making innovation in the products and services. It help in making improvement in
productivity and enhancing the sales and profit.
Stakeholder innovation- With the help of effective and efficient communication and
interaction channels and systems, the firm can make coordination with its several stakeholders
(Hsu, Tian and Xu, 2014).
Consumer value creation- It is an important and necessary principle which can be
applied by the management department of the company for attracting the customers so that they
can increase the sales of the firm by offer products and services to them.
TASK 3
P5. The importance of the commercial funnel and the application of new product development
Commercial funnel

It refers to the purchasing process that can be used by the companies to lead customers
when they buying products. In Essence Drinks, it refers to the concept of converting potential
individuals to customers (Jensen and et. al., 2016). Basically, it can be used by the management
department of the companies to increase the sales and marketing or measure the success rate and
growth between the each step of the innovation funnel. It can be used by the firms fro providing
information about the products and services to customers.
New product development
It is good and necessary process that can be applied by the organisations to gain more
competitive advantages in the market by offering innovative products and services. In Essence
Drinks, the management department of the company make innovation in products and launch
new organic juice product to meet the needs and demands of the customers. There are various
stages of new product development, they are as following:
Idea generation- It is the first stage in which the firm can launch its new organic juice
product. Under it, different ideas will came out and generate from several stakeholder of the
organisation that they will be included in the new product or not.
Idea evaluation- In this stages, the ideas are evaluated that which idea is good and
relevant for the business of the firm in terms of earning profit.

Source: New product development,(2019).
Concept development- In this stage, the chosen idea is implemented by the management
department of the firm. The decisions related to the development and growth of the new product
are taken that they are favourable for it or not.
Development of strategy- this is the next stage, in which the strategy is developed for
proving the information about the products and services to the customers and increasing sales
and profit.
Examine business condition- In it, the effectiveness of the product and services are
analysed by the top management and higher authorities of the firm that it is successful in
providing satisfaction to consumers (Kogan, Papanikolaou and Stoffman, 2017).
Product development- In this stage, the feature and effectiveness of the product are
monitored according to the neds and demands of the customers.
Test marketing- In this stage, the management department of the company is analysed
the issues and problems of the final product by the feedback and suggestions of the customers.
Illustration: New product development

Commercialization- This is the last stage, in which the product and services are launched
in the market with the intention of earning high profit margins and increasing the sales of the
company (Lara, Kolasani and Ramamurthy, 2014).
New product development create positive impact on the organisation's success by
increasing the number of customers, profit and productivity and by making the quality and
features of the products.
P6. An innovation business case for an organisation including ways to access funding
Business case refers to a written or verbal value proposition which is intended to educate
a decision maker and convince them to take some kind of action. It is required and important for
the firms to monitor the essential factors of growth fro the new developed products. In Essence
Drinks, the company manufacture a new product organic juice, for this the business case is as
following:
Executive Summery- Essence Drinks is a beverage sector company which was founded
in 2016 and produce mango Lassi products. This firm rapidly achieved growth in the second year
of its establishing. Now the management department of the company is thinking to manufacture
a range of organic juices fro satisfying its those customers ho have requirements of nutrients.
Need- Last few months, the sales and profits of the firm are reducing which affect the
business of the company. To solve this problem, the organisation think to produce a new product
organic juice which help the company in increasing the sales and profit of it because now these
days people prefer organic food products.
Solution- For the growth an d success of this product, the firm should target those
customers who have healthy habits and prefer juice on daily basis. This help the company to
increase the sales and profit. With the help of social media and other advertisement channels, it
can provide information about the products and design adds like that which attach the feelings of
the customers with the product.
Why it is innovative- After monitoring the solution, the needs and demands of the
customers can analysed by the management department so that they can take decisions according
to the solution. They required to analyse the innovation capability of the new product organic
juice so that it can attract number of consumers and help in increasing sales and profit of the firm
(Lee, Kao and Yang, 2014).

Customer research- In Essence Drinks, the management department can determine the
taste & preferences, needs and demands of the customers so that they can provide products
according their demands. It is important and necessary fro analysing that the product is capable
for fulfilling the desires of the customers.
Investment requirement- In Essence Drinks, the funds and finance is required for the
development of new product organic juice such as various manner in manufacturing, promotion,
market analysis and sells etc. For all these processes, the firm can borrow fund from, banks,
financial institutes and others for the proper and smooth running of the business and business
operations (West and Bogers, 2014).
TASK 4
P7. Evaluation of the different tools that company can use to develop, retain and protect
knowledge and intellectual property
The re are various tool that are important ton protect the brand images of the products so
that no one can produce similar product with less quality and harm the customers by selling them
at high cost. There different tools which can be applied by the organisation to develop, retain and
protect knowledge and intellectual property are as following:
Patents- It is a form of intellectual property and it provides to its owner the right to
exclude others from making, using, selling and importing an invention for a limited period of
time. Innovation in products an services allows business to become more growth-full and
successful because it help in the development and growth of a business by gaining competitive
advantages.
Trademark- It refers to a recognizable sign, design or expression which help in
identifying goods and services which are manufacturing by the firm. It is a important source for
the development of the business because it create completion for its competitors at market place.
When customer purchase products from a specific brand then they are the loyal customer of it.
Copyrights- It refers to the exclusive and assignable legal rights and basically used for
protecting origin framework that generate a unique identity of goods an services (West, Salter
and Chesbrough, 2014). When a company have a copyright then a person have right of
modification and distribute, perform the products and se4rvices in an attractive manner.

CONCLUSION
From the above information it can be concluded that innovation is necessary for a
bullishness and play an important role in the growth and development of new products and
services. If a company want to increase the sales and profit of the firm then by making
innovation it can attain its aims and objective in context of sales and profitability. It is beneficial
for attracting more consumers by making innovation and invention in its existing products and
services. Innovation help the company to increase the customer base, gaining competitive
advantages at market place, increase sales and profit of the firm. Different types of innovation,
4Ps of innovation and the use of innovation funnel are described in the report. Importance of the
commercial funnel, application of new product development and innovation business case for an
organisation are explained. Different tools which can be used by the company for developing,
retaining and protecting knowledge and intellectual property are defined.
REFERENCES
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Online
4 P's of Innovation Mix. 2015. [Online]. Available through:
<https://innovationmanagementsite.wordpress.com/2015/09/07/innovation-space-4ps/>.