Managing Innovation Report

Managing innovation
report

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
Definition of innovation theory, principals, process and evaluation of theory...........................4
Company background, business models which they use, development of products and
application of theory...................................................................................................................7
Future plans of company...........................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
Books and Journals...................................................................................................................11

INTRODUCTION
Innovation refers to introduction of different products of establishing new things in
market. It is not only related to introducing new products but changes in existing products also
lead to innovation. Marketers can't rely only on existing products so innovation has to be done
whether related new products or existing ones. There are many categories which are considererd
in the concept of innovation like changing existing technologies, any improvement is being done
in the market or a change in process is done. Marketers innovates new products to attract all
customers as every person wants some new and different products. The company initiates new
ideas to generate value of all products. Diffusion of innovation is a theory which means how new
innovations spread throughout society and it indicates how the new ideas which are generated by
marketers are adopted by different people in society. It was developed by E.M. Rogers and he
explained various stages which are followed while performing this theory. It involves Innovators,
Early adopters,Early majority, late majority and Laggards. The below analysis is based on Zip
car. (Agger and Sørensen, 2018)
MAIN BODY
Definition of innovation theory, principals, process and evaluation of theory.
Diffusion of innovation is a process through which all new innovations which are done
by organization is transmitted to the society with the help of various channels. People who
adopts all innovations are members of society, companies.
The process of diffusion of innovation theory involves knowledge, persuasion, decision,
implementation, confirmation. It is explained as below:-

 Innovators:- These are the people who always to introduce new technologies, new
products with advanced features and even if there is high percentage of risk they still feel
of innovating new things. (Alexander and Joe, 2019) Early adopters:- They are the people who comes after the category of innovators and
mostly remain active social media as well as give reviews about new innovation being
done for all the products which they like or dislike. Early majority:- It means when a new product is adopted by most of the people then
they think of spending on those products. As innovators and early adopters don't think
much on spending but early majority people makes sure that resources are used properly
in an efficient manner. Late majority:- These are the people who don't have much money as compared to above
three stages. They only spend on those products which has no risk and are fully tested. As
in case of other adopters they interact with leaders but late majority people don't interact
much with them. (Baldwin and Curley, 2020)
 Laggards:- These are the people who don't have much ides regarding technology and hav
ereally low social status. They do not take opinions from other people. Laggards focus on
traditional methods only rather than digital technologies.
Benefits of diffusion of theory and it is explained as below:- Knowledge:- In this stage, consumers gets an information regarding the product which is
innovated and have some kind of understanding regarding the innovated product. They
have detail regarding the product but don't make and judgement whether product is
perfect for the problems which occurs in organization or not. (Tiwari and Buse, 2020) Persuasion:- In this stage, consumers forms a decision whether new product is
favourable or unfavourable. Consumers in this stage analyse all information regarding
the product that whether product would be useful or it would lead to some problems.
Marketers uses various methods for the innovation which is being don by them and the
most effective and efficient method which is used is through help of catalogues. Decision:- This stage involves two decisions whether to adopt the product or decline it. If
a consumer adopts the product then they should make full use of innovation until and
unless it leads to some problems like lack of money. In the case of decline stage they do