A Report on Innovation and Commercialization for Healthy Juice Company

This report provides a comprehensive analysis of innovation and commercialization strategies for the Healthy Juice Company, founded by Mr. Daniel Green. Initially successful with a healthy milkshake, the company faced declining sales due to increased competition and a lack of product diversification. The report defines innovation, invention, and commercialization, highlighting the importance of organizational vision, leadership, culture, and teamwork in fostering innovation. It explores various sources of innovation and ways to develop a culture of innovation within the company. The 4P's of innovation (Product, Process, Position, Paradigm) and the innovation funnel are discussed in detail. Furthermore, the report examines the role of frugal innovation, the commercial funnel's importance in new product development, and various funding options. Finally, it evaluates different intellectual property tools that the Healthy Juice Company can utilize to protect its innovations. The report emphasizes the need for the company to embrace innovation to remain competitive and achieve sustainable growth.

INNOVATION AND COMMERCIALIZATION
HEALTHY JUICE COMPANY – DANIEL GREEN

CONTENTS
INTRODUCTION................................................................................................................................3
TASK 1..............................................................................................................................................4
P1 DEFINING INNOVATION AND IMPORTANCE OF INNOVATION FOR HEALTHY JUICE
COMPANY..............................................................................................................................................4
P2 ANALYSING HOW ORGANISATION VISION, LEADERSHIP, CULTURE AND TEAMWORK CAN
SHAPE INNOVATION AND COMMERCIALIZATION FOR THE HEALTHY JUICE COMPANY..............5
M1 ANALYSING DIFFERENT SOURCES OF INNOVATION AND HOW HEALTHY JUICE COMPANY
CAN FOSTER AND DEVELOP AND ENVIRONMENT OF CULTURE AND INNOVATION....................6
TASK 2..............................................................................................................................................8
P3 4P’S OF INNOVATION AND USE OF INNOVATION FUNNEL FOR THE HEALTHY JUICE
COMPANY..............................................................................................................................................8
P4 & M2 DEVELOPMENT IN FRUGAL INNOVATION AND ITS IMPORTANCE FOR HEALTHY JUICE
COMPANY............................................................................................................................................10
M3 EVALUATING THE ROLE OF FRUGAL INNOVATION FOR HEALTHY JUICE COMPANY............11
TASK 3............................................................................................................................................12
P5 COMMERCIAL FUNNEL’S IMPORTANCE AND NEW PRODUCT DEVELOPMENT.....................12
P6 & M4 INNOVATION BUSINESS CASE AND WAYS OF ACCESS FUNDING..................................14
TASK 4............................................................................................................................................17
P7 EVALUATING DIFFERENT TOOLS OF INTELLECTUAL PROPERTY THAT CAN BE USED BY
HEALTHY JUICE COMPANY.................................................................................................................17
M5 EVIDENCE-BASED EVALUATION OF INTELLECTUAL PROPERTY TOOLS FOR HEALTHY JUICE
COMPANY............................................................................................................................................18
CONCLUSION.................................................................................................................................19
REFERENCES...................................................................................................................................20

INTRODUCTION
An organization needs to constantly innovate in order to achieve success in the future.
Innovation in the commercial world is all about making things better in terms of product and
services being offered to the customers. Innovation is essential for the small or big organization
in order to compete with their competitors in the fast-paced environment. In this assignment, a
case study of Mr Daniel Green and his company ‘Healthy Juice’ will be considered as an example
for conducting a detailed evaluation for the topic innovation and commercialization in the
business environment.
Mr Daniel Green was the founder of the company healthy Juice Company and launched the
company with one drink that is a healthy milkshake and a dramatic rise in sales was seen for this
company for one financial year. But later when the company entered into the third year the sale
got decreased because of the number of competitors in the market. The main reason for the
decline of sales was that Mr Daniel did not want to shift from the juice idea and as a result,
other competitors achieved success as they offered diversified products to the consumers. In
this assignment, the importance of innovation and invention for the business will be briefly
explained. The steps that need to be taken by Mr Daniel Green for achieving success in his
business will be explained with suitable examples and theoretical explanations.

TASK 1
P1 DEFINING INNOVATION AND IMPORTANCE OF INNOVATION FOR HEALTHY JUICE
COMPANY
INNOVATION
Innovation refers to introducing something new in terms of product or service by converting
ideas into numbers. The term innovation may be referred to as implementing new ideas for
developing a product or service (Kline and Rosenberg, 2010). The main purpose of innovation is
to solve a problem through rearrangement, recasting, reconstructing and reorganizing so that
the solution derived is something new and is in the form of a product, method or an idea. There
are many forms of innovation such as product innovation, process innovation, marketing
innovation, organizational innovation etc.
IMPORTANCE OF INNOVATION
Innovation is important for sustaining the business competitiveness and improving the
productivity and operations of the company. Innovation is essential for the economic growth by
meeting the challenges of the rapidly changing market and to remain competitive in the long
run. Innovation helps in improving the quality of products and services offered to the
consumers by the businesses (Kline and Rosenberg, 2010). It helps in meeting the demand of
the consumers by making changes in the product thereby meeting buyer’s standards and
requirements. Innovation is also important because it will allow the businesses like the Healthy
Juice Company to adapt to change in terms of market conditions, technological advancements
and changes in the external business environment.
INVENTION
The invention is referred to as formation of new ideas for developing a new product or process.
The invention takes place when an idea comes to mind for developing a product and those
ideas turn into action and produce real commercial products (Teece, 2010). An inventor has

creative abilities for inventing something which could either be a product or service in which he
uses process, methods or certain concepts.
COMMERCIALIZATION
It refers to a phase or an activity for making product readily available to the customers in the
market. The product that is launched into the market is supported by marketing activities to
describe the product to the customers as an ongoing process (Teece, 2010).
DIFFERENCE BETWEEN INNOVATION AND INVENTION
INNOVATION INVENTION
It is the process of turning an idea into action
for developing product and services.
It refers to the creation of new products or
services that previously did not exist
Innovation is about changing a process or an
activity for gaining competitive advantage.
The invention is discovering something new
that the world di not new before.
The innovator uses defined strategies,
management principles and ideas for bringing
change in the existing products for developing
new products.
An inventor uses scientific skills for innovating
something.
In innovation, changes are made in existing
products for developing new products for
meeting the demands of the consumers.
In the invention, a whole new product gets
developed that did not exist ever before.
(Westley and Antadze, 2010)
P2 ANALYSING HOW ORGANISATION VISION, LEADERSHIP, CULTURE AND TEAMWORK CAN
SHAPE INNOVATION AND COMMERCIALIZATION FOR THE HEALTHY JUICE COMPANY
ORGANIZATION VISION
The prime goal and vision of the Healthy Juice Company are to provide a quality product to the
customers by providing high-class services so that company achieves its vision and long-term
objectives (Kohles, et al. 2012). Having a vision is essential for the Healthy juice company as
without having a vision the members of the organization do not get direction for heading in an

appropriate direction in which employees can achieve their personal as well as professional
goals. It depends on the leader of the organization whether to follow the vision and do not
apply innovation or to implement both principles in the business. Some big companies do not
innovate rather follow only specific strategies for moving ahead in the industry whereas there
are leaders who are truly innovative and strive to innovate while keeping company’s vision into
perspective (Kohles, et al. 2012). This drives to the conclusion that having a vision is essential
for Healthy Juice Company along with being innovative so as to sustain in the market
environment.
LEADERSHIP
The leaders of an organization like the Healthy Juice Company must use various leadership
techniques for motivating their employees so that they produce creative ideas for developing
new products and services (Bryman, 2013). A leader should be dynamic and should have good
communication and management skills as well so that employees are always motivated and
constantly think for being innovative in their day to day activities. If employees would share
ideas with the leader then a company can think of developing something new for its products
and services thereby giving a competitive advantage to the business.
CULTURE
An organization determines the value and shared vision between the employees and leaders of
the organization. Culture also determines the Psychological environment, belief, expectations
and interactions with the outside world (DUDEN, 2011). It is very essential for the healthy juice
company to bring innovation into the culture of the organization. Innovative culture will make
employees more creative in their day to day activities which would help them bring innovation
in the business. The best way is to analyze the skills of employees and provide the resources for
bringing innovation in the products or services. The leaders of the organization can also
organize various workshops for educating employees as to how to innovate through shared
vision, ideas, purpose and strategy (DUDEN, 2011).
TEAMWORK

The innovative ideas come from different people through the exchange of ideas. In fact, all
organization believe in innovation but the challenge lies in bringing the team together having
different values and beliefs in a spirit of collaboration for supporting innovation (West, 2012).
When teams work in collaboration then ideas are shared and issues are solved more effectively.
It also helps the teammates to share innovative ideas with each other that help companies to
convert these ideas into new product development.
M1 ANALYSING DIFFERENT SOURCES OF INNOVATION AND HOW HEALTHY JUICE COMPANY
CAN FOSTER AND DEVELOP AND ENVIRONMENT OF CULTURE AND INNOVATION
SOURCES OF INNOVATION
 The unexpected: The marketplace is an area where a businessman can look for
unexpected opportunities. A good manager of an organization should constantly look for
opportunities in the market like understanding consumer purchase behaviours, their
taste for a particular product etc. (West and Bogers, 2014).
 Incongruity: The best way to deal with congruity is to analyze the needs of the
customers and act accordingly. This strategy will help business to ensure long-term
growth and sustainability.
 Process need: It refers to analyzing your company’s process of operation and finding
weak spots for redesigning and correcting them.
 Industry and Market structure change: With the advent of rapidly changing
technologies the market structure tends to change in a way how consumers shop both
online and offline (West and Bogers, 2014). The best way is to adapt to changing
technologies and implement it into the products and services for remaining competitive
in the market.
 Demographics: The income level of people changes due to change in taxation and
policies of the government. These changes need attention by the business owners so
that companies lower down the prices of goods due to rise in inflation.
 Changes in meaning, perception and mood: The demand for the consumer’s changes
with time as change can be seen in people’s perception towards things and lifestyle

changes. Moreover, there is a generation gap and this gap affects the industries in a way
they develop new products for the consumers.
 New Knowledge: Changes and development in technologies bring opportunities for the
business owners such as the use of the Internet is creating ever-increasing opportunities
for the industrialists (West and Bogers, 2014). The best way is to utilize proper
knowledge for bringing innovation in the products and services thereby gaining
competitive advantage in the business.
WAYS FOR DEVELOPING AN ENVIRONMENT OF CULTURE AND INNOVATION FOR THE
HEALTHY JUICE COMPANY
In order to develop an environment of culture, the business owners need to educate the
employees of the company about the importance of innovation in products for remaining
competitive in the market (Büschgens, et al. 2013). The leaders should organize various events,
seminars and induction programs for employees about the ways for innovation and how to
develop new products and services for the consumers.

TASK 2
P3 4P’S OF INNOVATION AND USE OF INNOVATION FUNNEL FOR THE HEALTHY JUICE
COMPANY
4P’S OF INNOVATION
Product
It is essential for the Healthy juice company to offer diversified products to its customers for
staying a step ahead of its competitors. Along with milkshakes company should also offer some
other products like beverages, health drinks etc. so that wide range of customers can use
company's products (Anderson, 2013).
Process
A company should bring changes in the way it carries out its processes for facilitating the
customers. For example, employees should develop innovative strategies for greeting the
customers, providing them coupons, offers in the product and services etc. so that customers
keep coming back for purchasing the company’s products and services (Anderson, 2013).
Position
There are many positioning strategies that can be used by the healthy juice company such as
pricing strategy, product consumption, competitors etc. For example, it is essential to analyze
the consumer purchasing power for a product and set the price of product accordingly. Another
example could be to identify the products offered by the competitors for instance if a
competitor offers juice drinks then healthy juice company may offer drinks with breakfast
options (Anderson, 2013).
Paradigm
Paradigm is a strategy in which small firms use innovative ideas for strengthening their
organizational structure. This strategy urges businessman to make all possible changes that can

generate profit for the company. For example, healthy juice company may bring changes in its
product quality, services etc (Anderson, 2013).
Figure 1: 4P's of Innovation
Source:[http://knowledge-innovation.purot.net/dimensions-%20of-innovation]
USE OF INNOVATION FUNNEL FOR HEALTHY JUICE COMPANY
An innovation funnel is used for describing the steps involved in developing a new product or
process. The main purpose of innovation is to meet the demands of the consumers across all
stages of product development (Vanhaverbeke, 2013). The development process mainly
consists of three stages. In the initial stage innovative ideas are collected and put into the
refining process and in the second stage, the refined idea is put under screening process in
which ideas are matched with the goals and objectives. If it gets matched then an assessment is
carried out for analyzing the risk and testing the product. After testing the product is finally
released into the market (Vanhaverbeke, 2013).

Figure 2: Innovation Funnel
Source:[https://www.sketchbubble.com/en/presentation-innovation-funnel.html]
P4 & M2 DEVELOPMENT IN FRUGAL INNOVATION AND ITS IMPORTANCE FOR HEALTHY JUICE
COMPANY
Frugal innovation is a term used by various industry experts and is described as a concept that
urges businessmen to respond to a limitation of resources like financial, material institutional
etc (Zeschky, et al. 2011). It also enables businessmen to form effective strategies for
minimizing the resource consumption but not affecting the quality of the production and
operation processes. For example, a company can reduce the price of its products but not
compromising on the quality and functionality of the product (Zeschky, et al. 2011).
Frugal innovation is important for the healthy juice company in numerous ways and it helps the
company to emphasize on good quality solutions for the product and services. Frugal innovation
can be achieved by changing product design features, using technology for delivering low-cost

solution etc. Frugal innovation promoted sustainable development by developing
environmentally friendly products and services (Zeschky, et al. 2011).
Figure 3: Frugal Innovation
Source:[https://www.capgemini.com/consulting/2016/06/the-frugal-side-of-customer-
experience/]
M3 EVALUATING THE ROLE OF FRUGAL INNOVATION FOR HEALTHY JUICE COMPANY
The principles of frugal innovation can be applied in context for the healthy juice company. It
can be used for developing frugal products which are environmentally friendly thereby
attracting more and more customers for purchasing company’s products and services. If the
company makes use of technological platforms then the company can reduce cost and provide
better customer service to the customers (Zeschky, et al. 2011). The company can also cater to
changing economies where the demand for frugal innovative products is high such as
developing countries. Use of frugal innovation could also be disadvantageous for the Healthy
juice company as the company is too small and offering frugal products to the customers may
not generate huge profit margins for the company (Bhutto and Vyas, 2017). The frugal products
are catered to the growing economies where the profit margin is low due to low disposable
income of the people.