Innovation and Commercialisation Report: Essence Drink Analysis

This report analyzes the concepts of innovation and commercialization, using the fictional company Essence Drink as a case study. It explores how business culture, leadership, vision, and teamwork influence commercialization and innovation. The report delves into the 4Ps of innovation, the innovation funnel, and frugal innovation, providing examples of their application. It further examines the importance of the commercial funnel and the application of New Product Development (NPD). The report also addresses the development, protection, and retention of intellectual property. The report covers the importance of innovation, economic growth, brand reinforcement, standing out from competitors, and meeting customer needs. It also discusses the difference between innovation and invention and the importance of teamwork, culture, leadership, and vision in shaping commercialization and innovation. The report also explains the 4Ps of innovation, the innovation funnel, and frugal innovation and how it can be used in the firm with the help of examples.

Innovation And
Commercialisation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1) Explain the concept of innovation and how it is important to company in comparability
with invention. .......................................................................................................................1
P2) Describe business culture, leadership, vision and teamwork and how they shape
commercialization and innovation. .......................................................................................3
TASK 2............................................................................................................................................4
P3) Describe the 4Ps of innovation as well as innovation funnel and how it helps to shape
innovative ideas in the market................................................................................................4
P4) Describe frugal innovation and how it can be used in the firm with the help of examples. 5
TASK3 ............................................................................................................................................7
P5) Understand the importance of commercial funnel and the application of NPD..............7
P6 Innovation Business Case .................................................................................................1
TASK4.............................................................................................................................................2
P7) Focus on distinguished instrument of firm to develop, protect knowledge, retain and
intellectual property. ..............................................................................................................2
CONCLUSION................................................................................................................................3
..........................................................................................................................................................3
REFERENCES ...............................................................................................................................4

INTRODUCTION
Innovation means new creative thought or idea which is designed for best resolution in
order to achieve new requirements of the consumers for the very first time. Innovation should be
carried out in an organization so, that customers can be satisfied and brand picture can be build
in mind of the customer. Akshay Kumar founded two years ago Essence Drink founded in the
United Kingdom. Organizations main drink is Lassi and the creative product is pineapple lassiin
the global market. This report involves concepts of innovation and how culture, vision,
leadership etc. aid the firm to shape innovation and commercialisation. It also study how 4ps and
innovation funnel assist to shape innovative idea in the market (Datta and Jessup, 2015). Also,
frugal innovation and importance of NPD applications and how they are beneficial to the
business in it's success. Additionally, business case by covering methods to approach funding is
designed while several instrument are used by the firm to retain, develop and safeguard
intellectual property.
TASK 1
P1) Explain the concept of innovation and how it is important to company in comparability with
invention.
Innovation is explained as transforming innovative thinking or thought into precious
goods and services so, that customers in the global market are willing to pay for the creative
product or service. It is done by the business associates to grab more market ration in the
international market as well to sustain for longer time duration. Whereas, the word invention can
be described as emerging of thought or creative thought for a good or services which has never
been made before in the competing world.
The importance of innovation are explained below:
For economic growth: Innovation in good or services help in country's economic growth
as they creates more businesses opportunities in the competitive world. Essence drink is
launching drink which is pineapple lassi in the UK. The creative idea with flavour of pineapple
in lassi will help the firm to pull consumers in large numbers. As the drink is full of nutrients it
will help to raise sales volume and profit maximization can be done which will indirectly uplift
the economy of the country (Henttonen and Lehtimäki, 2017).
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Reinforce brand: Innovation assist the business associates to reinforce their brand once
again in the neck to neck competitive world. It aid the company to be tough competition for other
companies running in the market. Essence drink Is coming up with pineapple lassi after two
years which aid to reinforce their brand picture in the eyes of the customer to increase sales ratio
of the drink.
Stand out from competitors: To shine in the market innovation is the only way to
compete with the rival in the global market. Essence drink is making pineapple lassi it will aid
the organization to stand out from the other rival in the cut throat competitive world. It helps the
brand to stand out in the market as well as to become easy for companies to raise revenue.
Meet customers need: Innovation helps the business to achieve the desire wants
customers in the global market. Firm is approaching in the market with creative drink that is
pineapple lassi which is full of nutrients with natural fruits. As customers are health conscious
this drink will help to meet the customers demands and profit can be maximized. Pineapple is a
totally healthy drink and will be benefiting the consumers as well as potential consumers can be
attracted for longer time duration (Hossain and Kauranen, 2016).
The distinction between Innovation and Invention are explained as :
Particular Invention Innovation
Concept Invention concepts working
on theory and original idea and
thoughts.
Innovation concepts is more of
piratical implementation of
new and creative thought and
idea in the global market.
Ability necessary Scientific skills are mandatory. Innovation need technical, set
of marketing and strategic
ability.
Associated with Invention is associated with
individual process or good.
Invention is related with
allocation of distinguished
product and processes.
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P2) Describe business culture, leadership, vision and teamwork and how they shape
commercialization and innovation.
Commercialization refers to as activity by which product or services are made available
for sale to the general public. To have commercial success in the global market it should take
into account marketing, sales, customers support, production and distribution (Hossain, 2015). It
is essential for an administration as it aid the enterprise to develop a marketing plan, evaluate
hoe new product will be supplied in the global market and examine the barriers to success for
longer time duration. Whereas, innovation means an act of making changes in the current
product or services or process by developing creative ideas and ways in the cut throat
competition. The culture, leadership, teamwork and vision are discussed as:
Team work: Essence drink team is working effectively and efficiently to achieve the
rising wants of the consumers. Passionate team members of the company encourage the business
to creative new product in the market to sustain for longer time duration. The team of pineapple
lassi is working efficiently so that customers are attracted towards the lassi and sales volume
increases in the global market.
Culture: Essence drink is coming up with the innovative drink with flavour of pineapple
in it to provide customers a healthy drink. The culture of the business is to use natural fruits in
it's lassi no artificial colour or taste of pineapple in the lassi. This organization culture is
adaptability to the dynamic changing environment so that consumers are satisfied with their
product or service (Jamil and Mahmood, 2015).
Leadership: Effective leaders in an organization assist the firm to achieve the set
standard on set time frame. Essence drink has potential leaders in their business which helped the
business to grab huge market ratio within two years which is a positive sign. Pineapple lassi is
introduced in the competitive market because of effective leadership in the company. They have
encouraged the business associates to come up with fresh flavoured lassi that is awash of
nutrients in the marketplace to acquire market ratio as well as to recognize their brand to the
general public once again.
Vision: “to move with speed in order to garb huge profitability” is the vision statement
of Essence Drink. As it is a new emerging company in the UK Market so all the staff members
are working efficiently to sustain in the market and are experimenting with innovative drink
(lassi) with different flavours.
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TASK 2
P3) Describe the 4Ps of innovation as well as innovation funnel and how it helps to shape
innovative ideas in the market.
Innovation funnel can be explained as model used by most of the organizations in the cut
throat competitive world to examine the conceptualize products or services and creative thoughts
and ideas. In other words it can be said that it is used by many of the business associates to frame
or design an innovative and realistic action plan which can be executed in the real terms in the
global market (Miller and French, 2016). The set aim of funnel is to generate as many thought
possible which will be later on refined and transformed into concrete development plans.
The 4ps on innovation can be explained as it help the organization to evaluate within the
business empire and where currently the business operations are standing and how innovation
can be done to change product, press and perspective. This assist the enterprise to flourish in the
international market as well bind consumers with the product. It gives less chance to consumers
to switch to some other companies to satisfy their demand. Here, the expatiation of the 4ps of
innovation are done which are as follows:
Press: Essence Drink adopts this aspect in the working premises so as to attain set goals.
This aid the company to bind skilled employees for longer time period with the organization.
This leads to serve quality drink to the targeted customers. It will help the firm to provide
quality and nutrients lassi with flavour of pineapple in the market place.
Product: Essence drink is ready with pineapple lassi in the UK market to achieve the
demands, preferences and wants of the consumers (Mollick and Robb, 2016). It will directly
raise the brand recognition in the eyes of the customers and profitability ratio can be raised at a
tremendous scale. Pineapple lassi is a innovative drink of the company and is made with natural
pineapple fruit which is good for health. This will indirectly build loyal customers with the
Essence drink in the coming years.
Person: Individual is one who uses all abilities and capabilities to formulate a
innovative good or service for the consumers in the market. Pineapple lassi is specially made for
the consumers who are on diet or are health consciousness. This drink is full of minerals and
nutrients which will beneficial for consumers. It will create brand loyalty in the eyes of the
consumers and more trustworthy people will be apart of the business to make it successful across
the globe.
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Process: As essence drink is a new business in the UK market so the process of making
pineapple lassi is small as compared to the other competitors in the market. Gradually, when the
sales ratio will raise and profit maximization will be increased in the market place then the
process to create creative ideas will be expanded.
Innovation funnel is used by the Akshay Kumar Essence Drink to plan out a unique idea
for lassi in order to achieve the desire needs of the consumers (Paradkar and Hansen, 2015). It is
model which is widely used by the many of the top companies across globe to examine the idea
or thought and conceptualize product or services. It helped the firm to search out the potential
target customers so that innovative product can be designed accordingly. The creative pineapple
flavoured lassi is attracting the customers by it's taste in the market place. This is benefiting the
business associates by conceptualizing the product and services in the international market so
that success and budget can be figured out.
P4) Describe frugal innovation and how it can be used in the firm with the help of examples.
Frugal innovation is the process or way to reduces the complexity of the price of a
product and it's production in the competitive market place. Normally, it is done to reduce to
eliminate the unnecessary characteristics from long-lasting goods which are, cereals, corns,
furniture, electric tools etc. It helps in growing the countries economy by creating more
businesses in the nation. Firm uses or adopts frugal innovation in order to sell their product to
the consumers in the market place at a low price to pull them towards the product or services. It
indirectly raise sales volume in the competitive world and generates profit for growth and
success (Rasmussen and Eliason, 2017). There are certain principles of frugal innovation which
is carried out by the firm and discussion are described as:
Finding business opportunities in adversity conditions: To grow in the competitive
world innovation is must either in existing product or services or by developing new and creative
idea which can be used as opportunity for growth. Experimenting with lassi taste with flavour of
pineapple is big challenge for the company to implement it in the market. Essence drink garb the
opportunity and came up with pineapple lassi for consumers to grow business worldwide.
Example: Akshaya Kumar grab the opportunity of lassi with different flavous and is capable to
acquire large market volume in the early stage.
Do more with less: In today's era health of people are decreasing day by day due to
hectic schedule lifestyle. Essence drink decided to launch lassi with pineapple flavour which is
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full of nutrients there is no use of artificial elements. It will helps the consumers to remain fit by
drinking healthy lassi with natural fruit added to it. This company is adding innovation in the
existing lassi and is doing more for growth and expansion. Example: Essence drink is innovating
new drink in their existing product at large scale. They are utilizing the resources at optimum
level.
Think and act flexibly: The idea generation is easy not diplomatic in nature as it creates
problems to implement in the real times. Essence drink is approaching with pineapple lassi
which is simple in nature and will be able to implement easily. The product should be unique in
nature so that sales ratio can be upraised in the market place (Vishnevskiy and Meissner, 2015).
Example: Essence drink is very flexible in it's operations and is trying to come up with various
other flavours in lassi in the coming years.
Keep it simple: Innovative idea should be simple so that it can be easily executed in the
business and quick outcomes can be seen in low budgets. Essence drink is making pineapple
lassi which is very simple in nature and business can easily operate on it's plan. Simple product
innovation helps the organization to get stared easily without any major problem and set goals
can be meet easily in the given time duration. Example: The product if Essence drink is simple
and only the taste f pineapple is added to it to pull client in huge number.
Include the margin: To grow in the competitive world profit maximization is must. To
flourish in the market business should include profit margin in it's cost so that further expansion
can be done in the coming years. Margin of profits should be included in the processing strategy
so that other operations can be carried out smoothly. Example: Essence drink pricing is
affordable for the consumers and the margin of profits is maintained by the business associates to
flourish in the market place.
Follow heart: Open that business in which individual is passionate and has the zeal to
carry forward the business despite of failure in the market in the initial stage. Business can be
carried out successfully in the market when there is zeal to run it between other competitors.
Essence drink approach up with the pineapple lassi which is full of nutrients and is healthy for
customers health so that demands can be fulfilled and goals can be meet on time.
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TASK3
P5) Understand the importance of commercial funnel and the application of NPD.
Commercial funnel states as buying and selling of product and services which
organization leads consumers through when purchasing good or services in the global world. It
is important for the enterprise because it aid in visualizing the consumers journey from initial
awareness all the way through conversion. It helps the business associates to evaluate the
business capabilities and abilities and also search areas for improvements. The importance of
funnel are explained as follows:
Helps to pick right marketing strategy: Commercial funnel assist the business to pick
best marketing tactics for operation so that smooth functioning can be done. Using right strategy
in the Essence drink firm will directly help to raise sales volume and profits can be maximized
at a large scale.
Funnel helps to relate with customers: Commercial funnel guide the business
associates to create healthy relations with the customers so that they remain loyal with the
pineapple lassi. Providing quality lassi for customers will help the firm to bind customers
emotionally and set goals can be achieved (Xiao and Liu, 2016).
Helps to generate more sales: Commercial funnel helps to raise the sales ratio in the
market area as it helps to pick proper marketing tactics which indirectly helps to rise sales ratio.
Essence drink is benefited by the funnel and firm is able to generate huge profits which is used
for further growth and expansion in the global market.
The application of NPD (New Product Development)processing for commercialisation of
innovation are described as follows:
Idea generation: For developing fresh and creative good which is pineapple lassi in
global market, design or generate creative ideas to continue in the competitive world for longer
time duration. In this case Essence drink has to do investigate to accomplish data about the taste,
demand etc. in the market.
Idea valuation: In this step, organization have to choose best suitable idea out of
different alternative for enhancing business in the market.
Concept definition: In this Essence drink has to define the aim and objectives of the
pineapple lassi in the market.
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Strategic analysis: Here, Essence drink introduce productive and impressive tactics for
fresh good to fulfill the customers preferences and to improve business operations in the global
business platforms.
Product development and testing: When the Pineapple lassi is ready by the Essence
drink firm they provide their drink for testing in the market to see the reaction about the drink. It
is done to check the weather the company's standards are matching or not as well helps to raise
productivity level.
Market testing: Here, Essence drink test the pineapple lassi by collecting feedbacks
from the consumers so that corrective measures can be taken for business growth.
Commercialisation: Here, Essence drink introduce reasonable cost for the good.
Product launch: Essence drink set up their pineapple lassi in a cut throat global world
(Xiao and Yan, 2016).
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P6 Innovation Business Case
Business case is described as a blueprint which involves action plan to start up a new
business by discussing the objectives, targeted customers, tactics, marketing tools etc. It is a kind
of formal paper document designed by company.
Executive Summary- Essence Drink is coming up Pineapple Lassi which is a unique
drink. In order to gain competitive advantages firm decided to launch this drink in the neck to
neck competitive world. By adopting digital marketing tools the sales ratio can be uplifted
accordingly.
Mission Statement- “To offer quality and flavoured lassi to the customers” is the
mission statement of Essence Drink. By this statement employees are motivated to perform
better to achieve the desire goals in the market place.
Resources- To make the innovative lassi certain resources are required such as, fruits,
technology, man power etc. By effectively and efficiently adopting this in proper manner the
desired creative and unique lassi is framed.
Market Analysis- By scanning the market deeply it become easy for Essence Drink to
grow the Lassi in the global market. By this act best outcomes are attained in the set time frame.
Also, it leads to gain competitive advantages against competitors by launching the lassi drink.
Financial Resources- According to Essence Drink the estimated amount is $20,000 in
order to successfully launch the pineapple lassi. This financial amount is the sufficient figure for
commercializing lassi. Monetary amount act as a backbone of the organization and helps to run
the business successfully.

Different Ways of Funding- Essence Drink adopts distinguished ways of funding which
are explained as follows:
 Banks and Financial Institution- The insufficiency of funds can be eliminated from
Essence Drink by gathering monetary value from banks. Accumulating money from this
source is the easiest . Also, firm can take loan for longer time period as per their
requirements.
 Family and friends- Funds can be gathered from friends, family etc. at any point of
time. There is no set time frame of returning the monetary amount. Also, no or less
interest rate is paid to the family and friends. In case of emergency is the best source to
overcome the insufficiency of funds in the business. (Weyrauch and Herstatt, 2017).
TASK4
P7) Focus on distinguished instrument of firm to develop, protect knowledge, retain and
intellectual property.
In the cut throat competitive world administration main aim is to attain more and more
revenue as compared to rivalry. In order to attain the desired set standards in the competitive
market place various tools and techniques are adopted by the company. In order to be on the
leading position certain tools such as, copy right, patent right are implemented. The explanation
are as follows:
Copy right: It is a law sated by the governing bodies and gives owner of a work like,
song, picture, websites etc. the right to say how some one else can exercise it. By implementing
this it is easier to sell the product in the market and generate huge profits. Without the owners
permission no one can use the data, recepies, confidential data etc. However, the owner has the
right to calim that other person has infringed their copy right.
Patent Right: This can be explained as right to sell or make something which is allotted
to a specific company by patent. If the opposition party illegally sell the product without the
consent of the owner huge penalties is charged. This act gradually decreases the market value of
the firm. To succeed in continuous basis Essence Drink need to patent their drink so that illegally
it can not be used.
Akashy Kumar Essence Drink adopts copy right in order to safe guard the drink from the
rivalry. In order to protect the lassi recepies copy right is adopted by the company in the open
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