Innovation and Enterprise: Tesco's New Chocolate Product

This report delves into the concepts of innovation and enterprise, specifically within the context of the retail giant Tesco. It begins by defining innovation and exploring its application to product development. The main body focuses on applying innovation theories to the creation of a new chocolate product, the "Crunchy Bar," for Tesco, including a discussion of Schumpeter's and technology innovation theories. The report then proposes a comprehensive implementation plan for the Crunchy Bar, outlining marketing strategies, target markets (kids and teenagers), and the product's competitive advantages. The analysis includes an examination of the chocolate market, the importance of quality and health considerations (gluten-free and potentially sugar-free options), and the use of technology and social media to promote the product. The report concludes with a summary of the findings and emphasizes the importance of innovation for business success.

Innovation &
Enterprise

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
Apply theories of innovation and idea generation to products, processes or services to develop
an innovative idea.......................................................................................................................1
Devise a proposal for an innovative product, process or service for a working organisation and
produce an implementation plan.................................................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................6

INTRODUCTION
Innovation can be stated as the change brought to an idea or product that is not entirely new. A
very renowned example of that could be the innovation of phones into smartphones that also
helped the entire world into getting technologically advanced(Heikkila and Cairney, 2018). The
innovative ideas are used to develop ideas and processes that will help in improving the products.
This report involves theories of innovation and ideas that will be helpful in generating products
that could be used to attract the customers. These processes will be helpful in the understanding
of how the people will be helped from the innovations. The chosen organisation in this report is
Tesco. It is one of the biggest retail giant present in the UK and operates in more than 14
countries. Also in this report a proposal for an innovative product, process or service for a
working organisation will be produced with an implementation plan.
MAIN BODY
Apply theories of innovation and idea generation to products, processes or services to develop an
innovative idea
To make sure that the businesses are enriching in their productivity and the processes are well
developed, it is required for the company to be innovative in their thoughts and functioning. Also
the innovative ideas themselves need a out of the box content to improve the organisation. The
company Tesco could use the ways of innovation in their company that could help them in the
identification of the new products that could also be a way to expand their businesses. The
product of the company that could help them in gaining an upper hand from their competitors is
the a chocolate brand of their own. The market of chocolates are very big and could be used as a
niche product for the kids and teenagers. In UK too the market of the chocolates are very wide
and not only the younger people but the sweets and chocolates are used as gifts to provide to the
other people. The new innovative product of the company Tesco is named Crunchy bar and
could be the forefront of the collection of chocolates in their supermarkets and stores. The
company does has experience of the marketing of these sweets and chocolates as these are sold
by them at the supermarkets. With the experience of marketing they also need to use the
principles of innovation and ideas to be able to implement into a new product. Tesco should be
using these in perfectly executing the thoughts for the Crunchy Bar. One way by which the
organisation could be used to generate innovation could be the research and the focus of the
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employees towards more creativity. There are some issues too that could be a challenge to them
in the expansion strategies(Moring, 2022). These challenges could be the changing technological
advancement, pricing and the changing customer needs.
To implement the the execution of a new brand of chocolate, the businesses should come with
the new and innovative ideas. These ideas could be the product of good hiring, talent
management and the freedom that they have in the workspace. The teams present in the
workplace could be also involved in the meetings and workshops used for the brainstorming
ideas. They should also use the experience they have and use them to make analysis on the target
markets and the taste that the customers usually have. They should study about the challenges
that they will have to undergo while dealing with the business expansion and the right
functioning of their brand(Gilbert, 2022). It is essential that the enterprise understands that the
ideas do not bring the foreseeable results. When applying the sentiment, it is required that the
company looks about the challenges that will be faced by them. Tesco must also do the
demonstration of its product Crunchy bar to the customers to be able to perfectly understand the
taste of the customers. The company needs to improve on their weaknesses to find proper
marketing facilities in the UK to make distribution easier for the customers and the suppliers.
After the pandemic hit the world, it became very tough task for the people to be involved in the
process of interpersonal contact. The chocolates and gifts were the only hopes for the people for
making the interpersonal relations well and through that they were able to give the proper
felicitation and through that they were able to provide relief to the people who were suffering in
the COVID period(Batirova, 2019). To be able to know the target market they should be able to
overcome various challenges and should know the target market very specifically. There target
should be the kids and the teenagers and the marketing practises should be the ones that are
competitive enough and attractive towards their target market. There are several innovation
theories that could be used by the company Tesco to be market the chocolate brand the Crunchy
Bar properly in the UK and compete with the giants like Cadbury, Nestle.
Theories of Innovations
Schumpeter's innovation theory
Schumpeter's innovation theory is a very renowned theory and has several types. First type
includes the involvement of the business activities which could help them in reducing the cost of
the chocolate product. These could involve the induction of new technologies and easy access to
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the customers. This second type is that which is centred on intensifying demand of products and
services which also includes the taste and ingredients. By executing the product the company
Tesco would be more profitable and increase their sales. They could also implement strategies to
increase brand awareness amongst the people including the teenagers and the kids.
Technology innovation
This is some other concept of innovation which is productive for Crunchy Bar for
providing of chocolate services. In this theory, innovative thought can be created with the help
knowledge, application and ability to create new enterprise (Hasgall and Ahituv, 2018). In
modern world, the use of technology is increasing so rapidly that it is based on new possibilities
and innovation procedure. It also helps the firm to create ideas and experiment fresh concepts.
By using of innovative technologies while making Crunchy Bar, company could be able to help
customer in providing different flavours of chocolates to the kids and teenagers as well as
according their taste. Further, consumer could be able to share their experiences and issues
associated with the services through social media sites. This facility assist in accelerating the
sales and less wastage of the food material. It aid in keeping consumer satisfied and provide
them with the healthy chocolate. Through this innovation method, it is essential to create a
modification in organisational structure in an effort to gain more competitive advantage in the
target market (Chen, Meng and Li, 2018). Crunchy Bar is having several competitors like
Cadbury, Nestle and many more. Currently, public like the chocolates which are healthy and is
sugar free in nature. So, to earn more profit the company adopts various types of latest
technology so that they can work according to the needs and wants of the customers. With the
help of latest technology the company is also able to provide the customers with the products in
the right time and place (Altieri and et. al., 2018).
Devise a proposal for an innovative product, process or service for a working organisation and
produce an implementation plan.
The TESCO gains different advantage from the Crunchy Bar which is one of the chocolate is one
of the new innovation of the company. As chocolate is one of the most popular food among the
consumers. Being a supermarket, the company is going to deal in a new product. It will be
available in different flavours in the market. The company will also sell the product which will
be available in dark, milk and white chocolate. They are also planning to bring the chocolate
which will be sugar free. By launching the Crunchy Bar the company is going to target the kids
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and teenagers. The company is giving more emphasise on quality and price of the chocolate so
that more number of kids get attracted towards it (Ali and Soar, 2018). The price of the product
will be very nominal as the enterprise is targeting the kids and customers. Moreover, it is very
important for the company to take care of the health of the kids so the chocolate which are
introducing will be gluten free. As chocolate helps in reducing depression and anxiety, the
company can boost its sale. This will help them to gain competitive advantage in the market.
The main reason behind developing the products is to expand the business and get into the new
geographical areas. This will also lead the organisation to give more focus on the need and wants
of the kids and teenagers. The respective organisation is going to provide the Crunchy Bar
through its online website as well as through stores. The organisation is going to adopt different
marketing strategies in order to attract the large number of customers. By providing sample
chocolates to the teenagers which will be free of cost and by taking feedback from them will help
them to build good brand image. As most of teenagers try variety of chocolates so by providing
chocolate sample for the taste to teenagers will help the company to work accordingly in the
chocolate. By doing advertisement through various social media platform, the company can
attract large number of customers which assist them to generate more profits (Vitasari, 2021).
The company is also trying to the making the packing of the product very attractive so that kids
buy more amount of chocolate. Being a multinational supermarket, the company is able to use
the marketing strategies in an appropriate manner.
As the market of chocolate is vast and there are lots of competitor available in the market such as
Cadbury, Nestle and many more (Philip, 2019). So, by providing the chocolates to the kids,
teenagers in different flavours, taste, shapes, colours, respective company can get high market
share. Tesco is also planning to expand the market in the international market. Through this the
company will be able to gain profit and build good brand image in the market.
CONCLUSION
From the above report, it can be concluded that innovation is one of the most important
part for the companies in order to gain the profit. Innovation helps the firm to achieve the new
height of success. The business enterprise also adopts various innovation theory related to the
product, process or service which they offer. It also leads the company to adopt different
technologies and model which will be help them in building good brand image in the market.
With the help of innovation, the companies can expand its operation in the international platform
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also. By launching new and innovative products in the market, the company can also gain
competitive advantage.
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REFERENCES
Books and Journals:
Ali, O. and Soar, J., 2018. Technology innovation adoption theories. In Technology Adoption
and Social Issues: Concepts, Methodologies, Tools, and Applications (pp. 821-860). IGI
Global.
Altieri, G., and et. al., 2018. Characterization of an innovative device controlling gaseous
exchange in packages for food products. Postharvest Biology and Technology, 138,
pp.64-73.
Batirova, N.S., 2019. Theoretical aspects of the innovative development of the region. In science
and education: problems and innovations (pp. 120-124).
Chen, F., Meng, Q. and Li, X., 2018. Cross-border post-merger integration and technology
innovation: A resource-based view. Economic Modelling, 68, pp.229-238.
Gilbert, R.J., 2022. Innovation matters: competition policy for the high-technology economy.
MIT Press.
Hasgall, A. and Ahituv, N., 2018. Implementing continuous adaptation to technology innovation
in complex adaptive organizations. The Journal of High Technology Management
Research, 29(1), pp.35-45.
Heikkila, T. and Cairney, P., 2018. Comparison of theories of the policy process. In Theories of
the policy process (pp. 301-327). Routledge.
Moring, A., 2022. Theories of Technical Adaptation. In AI on The Job (pp. 35-48). Springer,
Berlin, Heidelberg.
Philip, R., 2019. Volume 1-SUMMARY-Workplan 2019-Implementing the Strategy.
Vitasari, P., 2021. Analysis of Internal and External Factors after Implementing the
Improvement Strategy using SWOT Method. IJEBD International Journal Of
Entrepreneurship And Business Development eISSN 2597-4785 pISSN 2597-4750, 4(3),
pp.334-339.
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