Report: Innovation and Commercialization for Essence Drinks

This report provides a comprehensive analysis of innovation and commercialization, using Essence Drinks, a UK-based beverage company, as a case study. The report begins by differentiating between invention and innovation, highlighting their significance for organizational growth and competitive advantage. It then explores the value of innovation, emphasizing its impact on brand image and profit maximization, while also examining the role of organizational leadership and culture in fostering innovation within Essence Drinks. The report delves into the 4Ps of innovation (Person, Process, Product, Press) and proposes specific innovation recommendations for the company, such as adding Zinc to the lassi and developing antimicrobial packaging. Furthermore, the report explains the concepts of the innovation funnel and frugal innovation, offering insights into how Essence Drinks can effectively manage and implement its innovation strategies. The report concludes with recommendations and a summary of the key findings.

Innovation and
Commercialization

Table of Contents
INTRODUCTION...........................................................................................................................1
Explain the difference between invention and innovation.....................................................1
Explain the value and importance of innovation to organisations and how this can be related
to the organisational leadership and culture at Essence Drinks.............................................3
Explain the 4Ps of innovation and suggestion one innovation the company must adopt it.. .5
Explain the concept of innovation funnel and frugal innovation...........................................6
Recommendations..................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Innovation is the processor which is undertaken by the organisation in which they introduce
or launch the new product in the market by using the unique features in their product and
services so that they can meet the changing demands of their potential customers. Irrespective of
the size, every organsiation needs to adopt the innovation so that they can survive in the business
environment for a longer period of time (Sitnikova, Polusmakova and Golovetsky, 2020).
Having effective implementation of the innovation allowed the company to gain more
competitive advantage in the large market. Essence drink is the chosen organisation for this
report, it is the beverage company in the United Kingdom which is offering a healthy mango
lassi. The company is planning to implement innovation and would be coming out with the new
element that is zn will be added to the lassi and also develop wide range of packaging that would
be antimicrobial. This report will cover the difference between innovation and invention and also
explain the different types of innovation it also covered the the process that is involved in the
commercialization innovation and also explain the different methods that is being used in order
to protect the intectual property.
Explain the difference between invention and innovation.
Invention refers to the process in which completely new product is being launched by the
organisation. In addition to this this process also enables the company in offering a unique
product so that they can fulfill the demand of their potential customers by which they can
establish a good brand image in the market.
Innovation is the concept in which new feature is being added in the existing product and
services that help the company to enhance their usefulness with their product. It is useful the firm
for the company to utilise their resources and in this process it is important to take the initiative
by the organisation so that they can implement their imagination into reality in order to offer the
unique product in the large market so they can Establish the good brand image in the market.
This process help the organisation their utility by making a prominent product so that they can
attract the large group of their customers. In addition to this useful innovation help the company
in SAB syllable competitive advantage so that they can attend higher profitability and growth.
Innovation is important for the company like Essence Drinks and there are various factors
which is enlisting the importance of innovation is given below:
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 Brand image: when the organisation is effectively implementing the innovation by using
a new technology and methods (Proksch and et. al., 2019). This will leads to you better
brand image within the market and also help the organisation to appropriately serve to the
large group of their potential customer and ensuring a better brand image.
 Profit maximisation: new technology leads to to attraction of the the new customers by
which the profitability of the company can be increased as with the increase in the
demand of their new product. This would help the company to meet the competitive
environment in the large market.
There are various aspect which help in innovation and also inhance the effectiveness of
innovation in comparison to invention. The comparison of the innovation and the invention is
explained as follows:
Basis Innovation Invention
Concept It is the process of
implementing the unique
concept in the existing
product so that they can
ensure value of their product
and services by which they
can increase the sales and
revenue of the company. This
helps in retaining the
effectiveness within the
organisation.
It is the concept in which a
completely new product is
being offered by the
organisation by using a
effective research and
development and focuses on
getting a new product that
have not been developed
before in the market so that
the large group of customers
can be attracted.
Occurrence In relation to innovation,
organs is depend upon the
scope as well as the the
existing product of an
organisation.
Occurrence of invention is
majorly depend upon the
striking of unique idea in the
minds of leader and manager
of the company.
Concern It is the concept which is
primarily focuses on offering
the product and services of
In this aspect, invention is
concerned only e in the
development of the unique
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the company. product or services within the
organisation.
Skills In relation to innovation, each
employee must have the
integrated set of skills as well
as the knowledge of the
market so that they can
launch their innovative
product in an effective
manner (Möller and Halinen,
2017).
In consideration to the
invention, the employee must
use the several scientific
skills which is necessary for
the brainstorming ideas so
that the organisation can
understand the market needs
and demand.
Limitations Innovation is related to the
each department of the
company that reduces its
livelihood and limited to the
particular unit.
Invention is usually related to
the devices and development
of the company.
Explain the value and importance of innovation to organisations and how this can be related to
the organisational leadership and culture at Essence Drinks.
Commercialization is the aspect that is associated in order to to introducing a new product
and services in the large market. The procedure is being adopted by the company in order to
develop the new product and services in the large market so that their potential customer can be
attracted and also help in increasing the sale of the company. In relation to innovation and
commercialization there are various element which could help the essence drink to shape both
the aspects. These elements are explained as follows:
 Vision: The vision of the Essence drink is to offer the the healthiest and better quality
beverages to their customer across the country. This aspect majorly help in shaping the
invention and commercialization as there are various innovation and advancement in the
health and quality that can used by the company in order to retain the quality of the
beverage. This would help in boosting the the health benefits to their customers.
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 Leadership: it is shown that Akshay Kumar is the autocratic leader that means all the
decision is been taken by the firm only in the consideration of making best beverages so
that they can attract the large group of their potential customers (Fisher and Qualls,
2018).
 When the organisation wants to substance in the market for a longer period of time, they
would use the democratic leadership style so that they can take the valuable feedback of
their potential employees and help in bringing about new innovative ideas within the
organisation.
 Teamwork: it is necessary for every organisation to have effective team so that they can
help in shaping the innovation and commercialization within the organisation. This can
be done by brainstorming ideas and then transfer them into innovative product
 Culture: culture is the integrated set of certain beliefs norms and attitude also the values
of employees within the organisation. This can impact the organisation positively and
also help in shaping the nation and commercialization as culture help in getting an
innovative and new ideas so that the form can accurately introduce a new product in the
organisation. When the companies having diversified culture this would help their
employees to give their valuable suggestions by which the company can implemented the
innovative and unique ideas.
There are various different sources innovation that help the company and developing the
business environment as well as the culture of innovation in the organisation and the various
sources are explained as follows:
 Industrial structure change: it is the factor which can be from in and for the innovation
within the industry. This would help implementation of technology infrastructure and the
regulation in relation to innovation. The sources is effectively used by the Essence drink
in order to implement the innovation in their organisation.
 Demographics: it is the another important source as there are various demographic
aspect in the business environment that are human capital population and income level.
This require company to appropriately develop the innovative product so that they can
meet the substitutable change in the large market.
 Perception: it is the source which is directly related to the needs and preferences of their
potential customers in relation to product and services offered by the company. In UK,
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people are more conscious regarding their health which can create the need of essence
drink to innovate their product in effective manner and fulfill the needs and wants of their
potential customers (Cheah and Yuen-Ping, 2021).
Explain the 4Ps of innovation and suggestion one innovation the company must adopt it.
Four P's of innovation are the effective framework that helping understanding the
innovation in an effective manner and there are 4 elements in this model which are understood
by the organisation in order to ensure effective innovation. In context to essence drinks, the four
elements of innovation are explained as follows:
 Person: it is the element which is related to the interpreter of the organisation. In relation
to the organisation, Akshay Kumar the entrepreneur which is responsible for using their
skills as well as the creative abilities so that they can offer the innovative product in the
large market and motivate their employee to develop the factor product as well.
 Process: it is related to the processes and the methods which is being used by the
entrepreneur in the development of the product. However this process is more inclined
with the thought process of the individual. It includes the various problem solving
aspects so that the company can develop the new product effectively.
 Product: it is the the factor in which actual product is being developed by the
entrepreneur by using their indicators set of skills and creative thinking. In context to
essence drink, mango lassi is the product which is being offered by the company.
 Press: it is is related to the environment in which the entrepreneur function as well as they
are getting their team in order to appropriately innovate the product. For men mulasi they
could use the conductive condition for the innovation. It also includes the organisation
culture of essence drink to offer the innovative product by making the best use of their
available resources as well as a practices which is being adopted by the Akshay Kumar
and their employees.
This is the model which help the Essence drink to effectively at of the innovative
technique as well as the culture which can promote the creative ideas and help in getting a
innovative product in the large market so that the ends of the organisation can make the best use
of the available resources in order to attain higher profitability and growth.
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Explain the concept of innovation funnel and frugal innovation
Innovation funnel refers to the technique which is being used by the organisation in order
to make the best use of their product and services in order to increase the profitability. The main
consideration of the innovation is to develop only those products and services which are
satisfying the needs and wants of their potential customer as well as matching the taste and
preferences of them. In order to develop the existing product, essence drink must consider the
three major of funnel which is being utilised by the company in order to develop and measure
the innovation and these factors are explained as follows:
 Assessment of Opportunities: it is the first step in which the company is required to
perform the effective market research so that they can together effective knowledge of
the large marketplace. This can be done by questionnaire and survey so that the available
opportunities can be measured by the company.
 Ideation process: it is the the next step in which the idea of the product that helps in
capitalisation of the company can be done by doing effective brainstorming and
understanding the interest and insights of their potential customers). (Anwar, 2018).
 Conceptualization: it is the step in which concept is being designed on the basis of
various ideas that includes the packaging and advertising copy for the configurations of
the feature which is being offered in the market.
 Benchmarking: it is the step in which company must focuses on the ideas and concept
and the main consideration of them is to determine the ideas that can effectively help the
company to increase their profitability and sales. There could be various method which
can help the organisation, performance testing method can help the organisation in order
to determine the long-term sustainability and profitability of a company. On the basis of
this test, the actual concept can be developed in order to offer a new product.
 Go or No Go and launching: when the idea is being screened and chosen, it is the last
step in which the objective of the form is being analysed and the idea is evaluated so that
the company can launch their new product in the market.
Frugal innovation
It is the technique or procedure which is been used by the company in order to offer a
protective services which are advanced in technology and can be made with the low prices. The
main consideration of this technology is to to offer a unique product so that they can attract the
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large group of customers(KN and APMD, 2021). There are various external factors like political
social and environmental that is impacting the innovation and acting as a driving forces. The
main consideration of frugal innovation is to offer the product and services through which they
can reduce their cost. In context to Essence drink, this can help introducing the and productive
cost from the operations and company can effectively launch their new product.
Recommendations
When the company is innovating their product, it is quite important for the firm
effectively use their technology and resources so that they can make the best use in the large
market. It is recommended to the company to use the effective marketing strategy so that they
can attract the large group of their potential customer and increase the profitability in the large
marketplace.
CONCLUSION
It is concluded from the above report that innovation and commercialization help the
business to establish a good brand image and sustain in the market for a longer period of time.
Moreover it is also important to determine that team work culture and visa of the company that
can save the commercialization and innovation in the organisation. Moreover the company has
also applied the 4 P's of innovation and also invented with the innovation funnel and frugal
innovation so that they can launch innovative product in the large market.
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REFERENCES
Books and Journals
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Management Studies, 56(5), pp.895-928.
Karimi Yazdi, A., Haghighi, M. and Nategh, T., 2019. The presentation of a strategy for the
commercialization of products and new technologies in companies New
Scientist. Journal of Medicine and Cultivation, 28(2), pp.54-69.
KN, S. and APMD, K., 2021. Factors affecting the commercialization of food legumes in north
Cameroon. African Journal of Food, Agriculture, Nutrition & Development, 21(2).
Möller, K. and Halinen, A., 2017. Managing business and innovation networks—From strategic
nets to business fields and ecosystems. Industrial Marketing Management, 67, pp.5-22.
Namdarian, L. and Naimi-Sadigh, A., 2018. Towards an understanding of the commercialization
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Proksch, D. and et. al., 2019. National health innovation systems: Clustering the OECD countries
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Sitnikova, S.E., Polusmakova, N.S. and Golovetsky, N.Y., 2020, March. Model of
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Weber, B. and Heidenreich, S., 2018. When and with whom to cooperate? Investigating effects
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Zahra, S.A., Kaul, A. and Bolívar-Ramos, M.T., 2018. Why corporate science commercialization
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