Managing Innovation: Theories, Strategies, and Case Study of Dyson Company

Managing Innovation

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAINBODY...................................................................................................................................3
Theories of Innovation.................................................................................................................3
Innovation theory in a historical development context................................................................8
Innovation theory in the future development.............................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Innovation can be defined as the process of comprising and implementing multiple
activities to explore new ways of influencing people lifestyle. Aim of the innovation is to deal
with people issues to fulfil their expectation and design the world as better place whereas they
can receive all value-added experience. it plays huge role in organization to develop dynamic
capabilities in individuals that supports to take competitive advantage as well as differentiate
brand from others in the business market (Leavy, 2018). Most of the companies implement such
process on their organization to transform their imaginary dream into realistic form such as
product and services. Implication of such innovation within organization creates specific image
in the world and enables company to achieve all benefits such as financial, competitive and
others. In this report will discuss about innovation theories and will analyse critically. Brief study
provided overview on Dyson company and it’s historical development in this report.
MAINBODY
Theories of Innovation
There are various theories of innovation such as blue ocean and diffusion theory that are
worldwide famous theories because it supports companies to achieve number one positioning
among others in the global market. Theories are mentioned below:
Diffusion of innovation theory
It is an innovation theory that is worldwide famous but most common theory among other
innovation theories. Such theory directs the way of communication process discloses an idea or
imaginary fact on the basis of wide group of individuals living within society. This theory is
generally divided into five broad range of categories whereas organization can practice this
innovation theory on it’s business to develop number of strategies to influence people to promote
innovation. Categories are discussed below:
Innovators: This category includes such people who always wants to introduce something new
which improves life of people. They do not concentrate on market competitive because they are
highly interested to adapt all emerging changes and introduce new products and services to fulfil
needs and demands of customers. Such people are known as first person who takes initiatives of

innovation in the community without concerning about financial loss. Such first person
differentiates themselves from other through their innovative initiatives.
Early Adopters: It is second category of diffusion innovation theory wherein includes such
people who are proactive type and posses’ advanced knowledge about emerging trends or
innovation in the future that supports to implement all earlier changes without any delay (Alam
and Islam, 2017). Such people do not need to deep research market for understanding needs of
people because they have prior knowledge about such innovation so they lead such change to
gain competitive advantage.
Early Majority: This category introduces such people who implements specified innovation or
technology within business to listen success stories of the people with the emerging innovation.
These people do not include into leader’s category the reason behind is that they follow early
adaptors who have achieved success on their innovation in respect of product and services.
Late Majority: In this category contains such people who tracks early majority to critically
analysing their success and selling revenue prior after adoption of innovation. In the same period,
they also analyse intensity of innovation such as this new innovation have met customers’ needs
and expectation successfully a not. Then this category people are ready to implement innovation
in their businesses.
Laggard: Such category’s people implement change or innovation within organization when they
are highly pressurised by other companies and customers to implement such innovation. This
category people are highly bund with their custom and tradition because they faces hardships to
promote their customers to but such innovative products.
Process of diffusion innovation theory
This theory supports people to develop innovative ideas and transform them in the form
of product and service to meet desires of customers. Then company increase awareness in people
to disclose information about innovative products and services so that they become excited and
ready to try new innovative service or products (Gündüz, 2018). When service or product
become famous and highly demanding in the market then people initiates to implement such
innovative product or services after examining it’s benefits and drawbacks. At the same time, it