Innovation & Commercialisation Strategies for Essence Drinks' Growth

This report delves into the innovation and commercialisation strategies employed by Essence Drinks, a UK-based company specializing in healthy mango lassi. Initially experiencing rapid growth due to its innovative formula and distribution, the company faced declining sales in its third year. The report differentiates between innovation and invention, examines the 4Ps of innovation (Product, Process, Position, Paradigm), and applies concepts like frugal innovation and the innovation funnel to the organization. It analyses the strategic capabilities gained through commercial funnels, evaluates new drink product innovations to meet stakeholder needs, and explores techniques for testing the value of new drinks. Furthermore, the report discusses various techniques and tools for protecting intellectual property rights for new drink products, highlighting the importance of continuous innovation for sustained growth and market relevance.

UNIT 8 – INNOVATION
AND
COMMERCIALISATION

Table of Contents
PART- 1......................................................................................................................................................3
INTRODUCTION.......................................................................................................................................3
Explaining the difference between innovation and invention..................................................................3
Analyzing what is the value and importance of innovation in the organization and how they are
embedded in organization leadership and culture....................................................................................4
Examining different types of innovation and 4Ps of innovation along with their support ability and
managing of innovation...........................................................................................................................5
What are the different types of approaches that can be taken as the process of innovative ideas along
with innovation funnel and frugal innovation with examples?................................................................6
Recommendation.....................................................................................................................................8
CONCLUSION...........................................................................................................................................8
REFERENCES..........................................................................................................................................10
PART- 2....................................................................................................................................................11

PART- 1
INTRODUCTION
The project is based on the topic innovation and commercialization the organization that is based
upon essence drinks. It is the UK based company which is dealing in selling healthy mango
lassie from the last two years. The company was keep developing rapidly in two years because of
its innovative formula and distribution capability but afterwards the cells of the company have
declined when they have entered in the third year. The project will discuss about difference
between innovation and invention. Along with this it will also give the information about the 4ps
of innovation and will also apply frugal innovation and innovation funnel in organization. The
assignment will also discuss about the advantage of using the commercial funnel that is to give
solution highlighting strategic capability. It will also evaluate about what is the new innovation
for a new drinks product and how it would result in meeting stakeholder needs and techniques
that are essential for testing value of new drinks. Lastly it will also give information about
different types of the techniques and the tool that are used to protect intellectual property rights
for their new drinks
Explaining the difference between innovation and invention
INNOVATION INVENTION
 Innovation is termed as the creation of
the different method and process that
are not used by any one or on the other
not have been come into existence
before.
 Mainly it is used by the business or
other to identify the needs and desires
of the market along with the processing
competencies, current popular trends
and support that is in the terms of
finance.
 It is known as the process of the
creation that is done for the first time.
 Mainly it is used because it provides
security to the inventor that is related to
the right of the property.
 This process involves transformation
of the brand by introducing new
thoughts and comets in their products
that are tactual in nature.
 The main aim of this is to deal with the
overall producer that is for the

 It results in causing renewal and
expansion of the products.
 Further in this technical information,
knowledge and competency about the
needs of the market id required along
with the popular trends and support of
finance.
development of the products.
 In this competency, financial aid and
knowledge is required.
Analyzing what is the value and importance of innovation in the organization and how they are
embedded in organization leadership and culture
In this era every organization in the world wants to be innovation which will make their business
successful running (ah Kim, yun Ryoo and joo Ahn, 2017). It has been identified that nowadays
innovation is very essential for the company for rapidly rising. Innovation has the major impact
on the strategic planning that is made by essence drinks. On the other hand it also results in
causing the creation of wealth in the organization. In addition to this there are many
organizations which use the certain methods which are used for improving the ability that is to
innovate their products. For this the organizations is generating the operating systems which are
mainly focused upon the process that is regarding the innovation which is to indicate corporate
sustainability. The organization have to face different types of the impacts that is of knowledge
based, globalization, technology revolutions and migration and various climatic change issues
that requires innovation for adding the values along with the broadening base of the employment
in the organization.
It has been identified that essence drinks have launched the mango flavored lassie which has
resulted in boom in the market for their initial stage in first year. In addition to this company
hake to face decrees in their growth because they have not done any type of innovation for the
few years and was selling the same product. This have been resulted in lack of the innovative
mind that were arises in the young people who are the soul and the heart of the company. On the
other hand it has also resulted in affecting the company because of their lack of innovative ideas.
The organization culture and the leadership of the company is not very efficient as the leader of
essence drinks don’t know how to motivate and encourage their members that is to bring

different types of new and innovative ideas which will result in aching the goals and desires of
the company (Kastelle and et.al., 2018). Further the culture of essence drinks is also very bad
because of this the member in the organization have to face or are finding different types of
difficulty at the time of communicating with each other. They should also adopt different types
of the techniques which are very important for the organization that is to build up confidence in
their employees towards their working. Hence for this the company needs to introduce more
types of innovative ideas and the flavors in their new products which will result in increasing its
growth.
Examining different types of innovation and 4Ps of innovation along with their support ability
and managing of innovation
Innovation is the process that is termed as the procedure of doing new things. The 4ps of the
innovation that is used to support the capability and management of innovation are discussed
below:
 Product innovation: it is related to redesigning the products that are already having been
existing in the markets are termed as product innovation (Li and et.al., 2020). The
innovative ideas in the minds of the company can be easily changed in the manner of
smart and creative product. Essence drinks are being serving the same product that is
mango flavored lassie that is from last three years. Today the people and the individuals
want new taste and flavor that is with the changing time. For this the company must hire
the individuals to work on adding new flavor which can be included in new range of the
products.
 Process innovation: it has been identified that this method keeps its focus on how the
products are manufactured. The company was started by kasha Kumar and also has
gained as much popularity in the markets but has fallen down because there was no
innovation of the new products. However if the company have to improve its innovation
they should also keep their focus on the products that are available to the customers along
with this they also offer home delivery by using time method.
 Position innovation: it is related to the renovation of the existing; product in the new and
particular context. The owner kasha Kumar don’t want that the company should exclude
their mango flowered lassie so that the repositioning of the essence drinks will result in

proving beneficial. For this the company can make different types of the innovative ideas
that are to keep their brand of lassie.
 Paradigm innovation: this type of the innovation is related to the changing of products
and services completely. For this the company can also hire new candidate which have
new and innovative ideas that will result in success of the essence drinks.
What are the different types of approaches that can be taken as the process of innovative ideas
along with innovation funnel and frugal innovation with examples?
It is used by the essence drinks to take the ideas for the different tapes of the concepts to reality
that is by converging in particular product which will result in aiming of products and process.
The different types of approaches that can be taken as the process of innovative ideas along with
innovation funnel and frugal innovation are used by essence drinks. Development of the
innovation funnel is based upon the three steps that are discussed below:
 Wide mouth of funnel: it has been identifies that in their point the essence drinks keep
their focus upon taking more knowledge of increasing the information base. If the
company will have new and innovative ideas then it will result in giving more quality in
its products. Therefore the company must start keeping their focus on gathering
innovative ideas which can be done by the hiring talented and young staff on the other
hand they can also take the ideas and suggestions from the people who are using the
products (Kuznyetsova and et.al., 2019).
 Narrowing segment of funnel: after the executing the innovation it is the duty of the
innovative idea that is to do screening to whether the changes that are made by them have
resulted in the reaching the goals and objectives of the organization. Further now the
company will start making the assessment that what is idea they will select which will
result in full success. For this the company has to focus on all the aspect which will result
in matching the odes with the loans that are set for improving the growth.
 Narrow segment of funnel: It has been identified that the ideas that essence drink has
selected must result in meeting all the objectives of the essence drinks and then the
company must launch their new brand products that will be released in the markets. It is
the end process which is regarding that the company can finally launch their products in

the market that will result in satisfying the objectives of the company (Helm, Endres and
Hüsig, 2019).
Frugal innovation is it Tom that is used by many companies with their limited assets they want to
produce gnu product which will help them to satisfy customer needs and fulfilling their
expectation. Essence drinks is using this concept in terms of using all the assets by including
different types of flavors and fragments which will help them to produce knew types of lassie in
the countries. Frugal innovation can be used by the company lettuce too support their leaders at
the time of contributing do they innovative idea that will result in accessible resources in terms
of directing and guiding their workers and the team at the workplace. This approach is also used
by the organization that is to give more real ability to the organization that is in context of lassie
and to attract large number of customer to pay attention on new innovation. The essence drinks
can also use this frugal innovation that is to offer valuable goods which will result in producing
by using necessary available things. On the other hand it also plays an important role in saving
efforts and money. In addition to this it will also result in reducing complexity of innovation that
is by offering different and maximizing profits that is from resources by attaining sustainability.
Mainly the innovation funnel models are of two types that are
MODAL-1 it is related to the modal of the company which is regarding the bet on a single
project. Mainly this is use by the small and entrepreneurial that is known as the top-down model.
MODAL-2 this modal is technologically that is very intensive and larger. It has been
identified that company only uses this because it is mainly rely on research and development of
the group that is to generate ideas for their technologies and products.
It has been identified that the company can use this approaches which will result in
maximizing the sales of the franks that are served by essence Drinks Company is based upon the
frugal information. Both the approaches are achieved by the company only when if they will
involve the new and young people in the staff which in result will lead to the new and innovative
ideas which will help the company to reach the new heights in the markets along with they can
also be in the minds of the people who are using their produces (Bengtsson, 2017 ).

Recommendation
It can be recommended the company must adopt different types of the techniques that are related
to the bringing innovation in the product and the services that are served by the organization. It is
very important for the company to regain its standards that are set by kasha Kumar that is by:
 The company can take ideas and review from the different people because it will result in
best source of gather information for essence drinks along with this they will also know
about what customers are finding which is lacking in company products and services.
 Essences drinks cab also conduct surveys and ten maintain their reports that can be
formulated on the different ideas that has been collected on the other hand they can also
make the samples that are based upon the circulation of the regular customers.
 They can make the ideas or can n do the changes that are based upon the reviews that are
taken from the people. In addition to this they can also start doing the market research
that is based upon the needs and desires of the customers along with their wants.
 They can adopt different types of the techniques so that they can achieve all the set goals
along with this they can also include this to build up their brand name. In addition to this
the company have their strength is reputation of their brand which is known by the every
people in the world because it is very famous (Ahmed, Halim and Ahmad, 2018).
 After they can make all the changes they can introduce the products in the market which
will result in growth and success of the company. However if the company will adapt all
this activates by innovating new ideas then they can also increase their sales again which
they have gains at the time go launching mango lassi.
CONCLUSION
By summing up the above report it has given the information about the difference between
innovation and invention along with these different types of approaches that can be taken as the
process of innovative ideas along with innovation funnel and frugal innovation. It has also given
the information about the different types of innovation and 4Ps of innovation along with how
they support capability and management of innovation. Lastly it has also given the
recommendation.

REFERENCES
Books and journals
ah Kim, S., yun Ryoo, H. and joo Ahn, H., 2017. Student customized creative education model
based on open innovation. Journal of Open Innovation: Technology, Market, and
Complexity. 3(1). p.6.
Ahmed, S., Halim, H. A. and Ahmad, N. H., 2018. Open and closed innovation and enhanced
performance of SME hospitals—A conceptual model. Business Perspectives and
Research, 6(1), pp.1-12.
Bengtsson, L., 2017. A comparison of university technology transfer offices’ commercialization
strategies in the Scandinavian countries. Science and Public Policy. 44(4). pp.565-
577.
Helm, R., Endres, H. and Hüsig, S., 2019. When and how often to externally commercialize technologies? a
critical review of outbound open innovation. Review of Managerial Science. 13(2).
pp.327-345.
Kuznyetsova, A.Y., and et.al., 2019. Creation of the value of national enterprises with the help of
the innovation centers in the cluster formations. Financial and credit activity:
problems of theory and practice, 2(29), pp.391-402.
Li, L., and et.al., 2020. Co-patents’ commercialization: evidence from China. Economic
Research-Ekonomska Istraživanja, pp.1-18.
Sakun, A. and Gryshova, I., 2019. Influence of the Commercialization of Innovations on
Leadership Positions of the Agro-Industrial Sector.
Stojčić, N., Srhoj, S. and Coad, A., 2020. Innovation procurement as capability-building:
Evaluating innovation policies in eight Central and Eastern European
countries. European Economic Review. 121. p.103330.
Teixeira, L. V., Moutinho, L. F. and Romão‐Dumaresq, A. S., 2018. Gas fermentation of C1
feedstocks: commercialization status and future prospects. Biofuels, Bioproducts and
Biorefining, 12(6), pp.1103-1117.
Tobiassen, A. E. and Pettersen, I. B., 2018. Exploring open innovation collaboration between
SMEs and larger customers. Baltic Journal of Management.
Yin, X., and et.al., Dithieno [3, 2‐b: 2′, 3′‐d] pyrrol‐Cored Hole Transport Material Enabling
Over 21% Efficiency Dopant‐Free Perovskite Solar Cells. Advanced Functional
Materials. 29(38). p.1904300.

PART- 2

Slide 1

Slide 2

Slide 3

Slide 4
But on the other hand after the entry of the competitors the growth and sales of the product was
declined because of this the company have thought of introducing new product that are made
with full innovative ideas which will result in boosting the growth of the organization again.
After the innovation was doe the company have decide to launch four product along with the
mango lassie that are named as the pineapple lassie, apple lassie, guava lassie and litchi flavor
lassie. At the time of introducing the products the company has to face several products rat is
regarding the patents rights and other sources. But later on customers showed satisfaction on the
products that are launched by the company.

Slide 5
Matching goals to resources and capability: it helps the co many because by this the company
can know what the resources they require in the company that is to meet the goals that are related
to the resources and the capabilities.
Assessment of risk it is related to the knowing different types of the risk that the company has to
face at the time of launching the proud cuts in the markets.
Value analysis applying frugal innovation it is used by the company that is to know the process
of starting the project then to end of its sales. It help the company to select the one innovative
ideas from different along with this the company can also identify is the idea good for the market
by doing the market research. Lastly by this they can also know what is the feedback of their
customers who have used this project
The importances of the stages that are used in the commercial funnel are:
IDEA generation: it will help the organization to come up with the idea which will result in
collaborating and coordinating the best idea from many that is by selecting best one.
IDEA SCREENING: before making the commercialization innovation the company must choose
which is the best idea and will result in giving benefits to the essence drinks.
CONCEPTS TESTING: the importance of this stage is it helps the organization to test what will
be the reliability and sustainability of the idea at the time of innovation.
BUSINESS ANLAYSIS: after the all this stages are clear then next is related to the analyzing the
idea in terms which will match the aim and objective of the firm.
PRODUCTS DEVELOPMENT: it is related to the idea that is chosen by the company matches
or fit to the strategic plan and by this the management will think to convert it in new lassie.
TEST MARKETING: it is related to testing the lassie before it is launch.

COMMERCIALIZATION: it is the last stage of the commercial funnel that is related to
promoting the product that is innovated by the organization.

Slide 6
They should tell their stakeholders about the product they are launching and can ask the
suggestion if they want to change anything or they want to add something which will result in
prioritizing the needs of stakeholders.

Slide 7

Slide 8
Desk based research
It has been identified that market research is very essential for the business to know what are the
sustainable market for their products along with understanding the needs of their audience and
what are their expectations regarding the successful business launch. On the other hand it is also
used for finding relevant data which has already existed at the time of collecting research.
Product development
It is the another development which is very important for the company that is too minimize the
risk that happened at the time of launching new product along with this it is also used for
improving the performance of the existing product.
The different types of the funding that is used by the essence drinks are:
VENTURE CAPITALIST: it is related to the taking funds from the private equity investors
which help the firm that will be exhibiting high progress at the time of exchanging and
developing business.
BANK FINANCING: this type of the tool is very common that is used by every business as in
this the company can take the approval by applying and filling forms.
From the above discussion it has been seen that bank financing is the best option that essence
drinks can use for taking funds.

Slide 9
The different types of the tools that are used by the essence drinks are
PATENT: it is related to using the products by giving the name.
TRADEMARK: it consists of the sign, design and specific source.
COPYRIGHT: in this it includes different types of the tools that are regarding, advertisements,
music and database.
Patent
The advantage of this is it helps in protecting the preidentified period that helps in keeping
rivals away from the organisation.
The bad thing about this is it it contains lot of time and also results in wasting money.
Trademark
These tools help companies in term of protecting them against infringement.
The most negative fact about trademark is that its registration fee which is expensive.
Copyright
The advantage about copyright is that it helps in protect organization broachers, documents and
annual reports for long term.
The main disadvantage of this is that it protects aspect of idea not the idea in real life.

Slide 10

Slide 11