Case Study: Launching Innocent into Smoothie Market - Analysis

This case study analyzes the launch of Innocent Smoothies into the growing fruit smoothie market. It explores how the company developed its business idea with limited funds, capitalizing on the rising popularity of smoothies. The analysis covers key aspects such as the founders' background, initial market entry strategies including sales to local shops and securing equity financing. The case study delves into strategic decisions like the potential sale to Coca-Cola, emphasizing the importance of continuous innovation and adapting to market competition. Furthermore, it examines the company's virtual communication approach, contrasting its advantages and disadvantages, especially concerning supply chain and intellectual property. The study also discusses the application of different scientific cycles including natural, integrated engineering, differentiated services, social sciences, and entrepreneurial cycles, providing a comprehensive understanding of Innocent's business model and its success factors in the competitive market.

Innovation management

Agenda
Introduction to the case study
Question 1
Question 2
Question 3
Question 4
Question 5
Question 6
Question 7
References

Introduction
 Innocent launched their business in 1999 (Abdul-Talib et al., 2020).
 They experienced the growth of smoothie market.
 Experienced in the rise of the competitors.
 In 2016, they became the market leader in the United Kingdom
market and they had the market share of eighty percent.
 This case study highlights how innocent developed their business
idea with the help of limited funds.
 At that time, smoothie was very popular in the market.
 At that time, there was the existence of innocent in the market.
 They could not get any benefit from any other company in the
market.
 The launch of the product is integrated with rapid growth of the
market.
 It is in the form of own label smoothies from the Sainbury’s, Tesco
and M&S.

Question 1
All co-founders had a very privileged
background
Singlemindness approach of the company
highlights the NPD procedure (Cooper &
Sommer, 2020).
 It happened at the time of the creation of
business of the company.
Innocent image can be treated as the single
minded and business oriented.
Their background reflects does not reflect to
the rags to the riches story.

Question 2 Local sandwich shop agreed to stock a
few of their drinks (Frizziero et al., 2020). They delivered twenty bottles of their
drinks to that sandwich shop. After checking, they saw that all the
bottles were sold. Most of their local sales was performed by
local sandwich shops and delicatessens The Coffee Republic agreed to stock the
drinks of the innocent company in their
eight or nine outlets.

Question 3 They secured equity financing. Founders were benefited from their excellent
educational background Got in touch with Venture Capitals very quickly (Reche
et al., 2020). Got benefits from many other businesses. Maurice Pinto invested £ 250,000 in their business and
retain 20% stakeholder. It helped them to start-off. Spent money for giving the salary, purchasing raw
materials, promotion of products, bottling of plants and
labelling of bottles.

Question 4
We should sold the company to the Coca-Cola
company.
The reason is as follows:
o The product of Innocent company has a huge
gap in the differentiation strategy (Kavadias
& Ulrich, 2020).
o The competitor company can easily make a
copy of the products.
o A huge amount of competition within the
Food as well as Beverage companies.

QUESTION 5
Continuous innovation (Mazzarol & Reboud,
2020)).
Refuse to compromise
Innovation is required when the product is within
the red market.
It is responsible to develop a latest concept.
It will responsible to decrease the market share of
the company.

Question 6
 The company can be virtual with the help of virtual
communication.
 Other companies are called marketing.
 Innocent smoothies called it as communication (email,
blogs, Facebook and Banana phone)
 Other drink manufacturers does not use these facilities in
their business (Ramakrishnan & Gaur, 2020)).
 The advantage is that it enhances the business process.
 Disadvantage is that innocent does not have its own supply
chain and manufacturing process.
 For that reason, they are using the materials of other
companies.
 Other aspects are quality, reliability, leakage of different
intellectual property.

Question 7
 Natural science cycle includes the development of the
fruit based on the purity.
 In case of Integrated engineering cycle, a winning of a
particular product was very crucial in the area of
competition (Reche et al., 2020).
 In case of differentiated services cycle, innocent is
focused on the creation of the brand image.
 In case of social sciences cycle, innocent requires
consumer feedback for continuous improvement of the
product.
 In case of Entrepreneur, innocent has strong
entrepreneur skills for the business.

References Abdul-Talib, A. N., Alanazi, T. A., Ashari, H., & Zamani, S. N. M. (2020). Re-Examining the
Relationship Between Team Work Quality and Speed of New Product Development: A Test
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and Insights from the Research Published in the First 20 Years of Manufacturing & Service
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