Managing Innovation in Business: A Case Study of Mercedes Benz

Managing Innovation
in Business

EXECUTIVE SUMMARY
This report will cover background information about auto mobile industry which in walls
regular innovation in their products and services. Innovation is the main element in an
organisation which enhance their sales and demands by adding new features on regular basis. It
is analysed that organisations should match the level of current market trends in order to gain
different competitive advantages. It is easier for an organisation to enhance demands of their
customers by providing them with unique and attractive features which are completely different
from the offerings of their competitors. Competitive rate of an industry is easily improved by
involving creativity in their different services and products. Organisations can adopt various
technological advancements by involving tools and tech names which are highly profitable for
customers as well as for organisation. For maintaining long-term sustainability in large market
areas it is essential to improve productivity by adopting innovations in cost-effective manner.
This report will include different innovations and innovative history of an organisation. The rate
of growth which organisation have adopted with the help of their capabilities and performances
are discussed in this report.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Organisation and its innovation history..................................................................................1
Existing innovation capabilities and performance of an organisation....................................3
The industry in 2021...............................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Innovation management a reference to the process of managing changes and innovative
procedures so that organisation can implement innovations in successful manner. Different
activities, practises and decisions are combined so that innovative strategies can be formulated
for achievement of goals (Biazzo and Filippini, 2021). Challenges can be easily overcome with
the help of innovative changes in an organisation which results in higher profitability.
Organisations can easily compete in the market by offering advanced and upgraded services to
their targeted audience. This report is based on Mercedes Benz which is a luxury vehicles
company. It was founded in 28 June 1926 by Karl Benz and headquartered in Stuttgart,
Germany. This report will include overview of industry and organisation along with its
innovation history. The existing innovation performances of an organisation is discussed and its
current capabilities are also mentioned in this report.
MAIN BODY
Organisation and its innovation history
Mercedes Benz manufactures commercial and luxury vehicle for their targeted customers
under their brand name. They are famous in all over world for offering premium vehicles and
services. Mercedes was the first brand who have created first internal combustion engines in their
vehicles. Large number of compilation of innovations are involved in the manufacturing
procedures and also focus on technology and safety altogether. In 1901 Mercedes Benz I have
developed a honeycomb radiator which assist in cooling engines of vehicles and have unique
texture which is a remarkable innovation created by them (Sanz-Llopis and Ostermann, 2020).
This attract large number of customers as this was very unique feature which was invented in
automobile industry. In 1906 they have a novated electric powered car which can be easily
operated with the help of batteries. Various vehicles of Mercedes such as trucks, fire service
vehicles, passenger cars and buses become available in electric powered which save lot of natural
resources and fuels. This also reduces pollution from environment by using electricity rather than
fuel for their operation which is a positive factor. After that they have also invented various
features so that they can compete their competitors in effective manner. Those innovation
includes a multi wave engines, supercharged engine, four wheel independent suspensions and
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