Assessing Innovation and Commercialisation Strategies at Samsung

This report examines innovation and commercialization strategies at Samsung, differentiating between invention and innovation. It explores the influence of innovation on vision, leadership, culture, and teamwork within the company, highlighting the importance of an open-minded and collaborative work environment. The report further analyzes Samsung's approach to innovation using the 4 Ps framework (product, process, position, and paradigm). It discusses the application of these concepts to enhance customer satisfaction, gain competitive advantage, and drive profitability. Key aspects include Samsung's implementation of wireless data transfer and its impact on customer base expansion, along with an overview of team work theory and various stages which contribute to the company's success.

UNIT 8: INNOVATION AND
COMMERCIALISATION

INTRODUCTION
Innovation is when there is a new idea or imagination which is got in a device or in the
methods which is being used. This helps to increase the productivity in the market which is good
for getting competitive advantage and the organization to gain higher profit margins and increase
customer satisfaction. Innovation and invention are two different practices which are done in
organization since there are more potential players in the market which can impact the market
shares.
Commercialisation is the process of developing products and services which can increase
the sale and which can make the companies get a competitive advantage. The research and
development department has to be very active and investment should be high in this field so that
the company can have a better functioning.
Samsung is having its headquarters in Seoul, Korea and is a private owned organization
which is a multinational organization worldwide. The number of employees working in this
organization is 320,671 which are making the organization have a competitive advantage since
the productivity and the operations of the organization are very good.
The report would consist of the changes which the company has to consider due to
inventions and innovations. There is wireless data transfer process which the organization can
come up with so that they can provide the customers which the other organizations have not been
able to. Innovation requires open mindedness and healthy working environment which is
required so that there is a better functioning.
LO 1
P 1 Differentiation between Invention and Innovation
Invention and innovation:
Innovation is known as the approach to enhance the feasibility or effectiveness of
existing products or services so that competitive advantage can be gained while invention is
defined as the way to introduce a completely new product or service in the market which was not
thought or used earlier.
Significance of innovation:
There is a change in the demands and needs of the customers which is why it is very
important for companies to be able to get in changes accordingly so that this can help the

organizations to make the customers loyal and get core competency (Nepelski, Van Roy and
Pesole, 2019). There are many goods and services which have come up by Samsung in the
market so that they can capture more customers and there are investments opportunities in the
market which needs to be analysed with effective tools. There are more varieties which the
company is trying to service the customers with so that the company can have a better standards
and brand image in the market. The organization is doing their best in the market which
satisfaction of the customers and the desires as well of them which are helping the company have
a stronger base. The customers of the organization are not being provided default products in the
market so that there is a better reputation of the company.
The regular requirement of improved products and services for satisfactory customer
services as well as unexpected occurrences for meeting competitive goals can be considered as
the key source for innovation.
Innovation Invention
The existing products after a time lose interest
of the customers which is why it requires
improvement so that the organization can
have the customers interested in the company.
The satisfaction of customers is being worked
on in innovation which improves the quality
of products and services and attracts more
customers in the company. Innovation helps
the organization to match the needs and wants
of the customers which is changing in the
market so that retention continues.
Inventions are new products which are
produced by organizations so that they can get
in more customers and attract them because of
the varieties which the company provided
them with. It helps the business to generate
loyal customers in the organization resulting
in competitive advantage and higher profit
margins.
Right skills and experience is going to help
the organization use the right strategy so that
there is a better functioning. There is a need
of change to be got because there is a need in
the market for the organization to keep getting
new improvements so that the customers do
not get bored with the products.
There is a requirement of a lot of experience
in invention which is going to make the
company have success in this process. There
has to be a trust on the evaluation and analysis
in the market and help the organization to
come up with an unique idea. This is going to
make the customers get loyal to the

organization.
There are a factors and features which are
being provided by Samsung for the customers
which are lightweight, slim look, cheaper and
affordable. Available in three colours which
are gold, silver, black, S bike is best feature in
Samsung till date, etc. This is making the
customers get attracted and the company is
increasing their sales all the time which is a
great factor for the organization.
Wireless data transfer is a new invention
which the company which is a very necessary
process for the world (Mention, Ferreira and
Torkkeli, 2017). This process is going to
increase the customer base and especially the
business class since they need a faster and
secure way to transfer their data all the time.
This is not like Bluetooth but it is when the
devices touch each other the information can
be transferred from one device to another.
P 2 Influence of Innovation in Shaping Vision, Leadership, Culture and Teamwork
Culture
There are a lot of elements which impact on the leadership, vision, culture and teamwork
and that has to be handled by the organization effectively. If all staff members are not allowed to
express themselves then some employees of the organization may feel superiors than one another
and have a sense of uniqueness in them which harm the productivity of the organization. Instead
a culture of sharing skills and experiences is very important as it enhances the way to generate
innovative ideas. All the employees have to be treated equally in the organization and they have
to be paid fair for the kind of work they are going in the organizations growth in the market.
There are more creative methods which can be taken out in the company when the workforce is
working together. The transparent and interactive work culture is essential for motivating staff
members to starve for innovative ideas which are crucial for long term success.
Teamwork
Bruce Tuckman is being used in Samsung which is focusing on the team work which can
make the organization have a better innovation which can take place (Mattila, Yrjölä and
Lehtimäki, 2019). This theory provides five stages in this theory which are forming, storming,
performing, adjourning and norming which is going to be discussed in the further report. Team
work theory and various stages of team work involve participation of diverse individuals
working as single team. Thus each individual shares a fair contribution of creativity and

possibility of new ideas. Working in team also allow to build more feasible ideas as different
team members comes up with different solutions for innovation management. Thus by
implementing suitable team work theories organisation can enhance creative and innovative
services.
It is very important for team members of the group to communicate the task which would
get transparency in the organization with clarity in direction to function and operate. This is done
for the workforce to ensure their position all skills and knowledge of team members to develop
effective structure and achieve the objectives faster. There are a lot of conflicts which rise in this
stage which is creating a huge challenge for the managers and leaders of the company (Medase
and Barasa, 2019). This stage helps to identify real values and skills of team members to
formulate effective creativity in the organization increases to achieve the objectives can be
achieved faster. The conflicts are solved in this stage so that the task can be focused upon and the
allotment for the task can be done effectively so that the standards of Samsung can be matched.
The employees have to accept each other’s drawbacks and help team members so that the task
can be completed in time. The team performance is going to increase and the sales can be
increased as well of Samsung.
Vision
The company is aims for providing the best of innovations in the products which the
company is having. The expectations of the customers are changing which is why it is very
important for the organization to have a better functioning so that the company can regularly
innovate its services and its customers can always get satisfactory and unique service experience.
There is a value which the organization has gained for the products they have in the market
which is a great factor to increase the sales in the market. This is going to reinforce the
employees to continue working effectively. This is good for Samsung because this way the
company will be able to improve their standards and goodwill in the market (Amponsah and
Adams, 2017). This results in gaining competitive advantage, higher profitability as well as
increased emphasis of staff members on innovation. The organisation’s vision to deliver quality
services and sustainable performance foster the need of regular innovation. There has to be a
victory celebration in the organization because at a point the employees can lose interest and
reduce their performance. It is very essential to motivate team members to develop high
performance teams which help to achieve objectives effectively.

Leadership
The employees of Samsung are always motivated in some way or another by their leaders
so that the changes and news ideas can generate in the company. There is a democratic style
mostly used in Samsung so that all the employees have a say in the decision making but it can
change from situation to situation which is the best leader can go for the organization. . Training
and development programme is implemented in the organisation which helps to increase the
performance and can be given in the market by Samsung. The competition is increasing which is
why the demands of the customers have to be met. The power is in the hands of few authorities
in the organization which does not motivate the workforce to give their best in the market
(Kalantaridis and Küttim, 2020). There is a fair distribution of roles and responsibilities of all the
employees so that there is a better and clarity in the world which is being done. Roles are strictly
followed and that gives Samsung a higher competitive advantage which makes the company get
a higher profit margin. It also allows each individual to develop and propose new ideas for the
betterment of organisation as well as own professional development by creative procedures.
LO 2
P 3 the 4 P’s of innovation
This is a framework of 4 P’s which is introduced by Joe Tidd and John Bessant. This is
adopted by businesses in the market so that they can improve the process of innovation so that
the functioning is effective. There are 4 P’s in this framework which are product, paradigm,
process and position. It helps to identify opportunity of the organization in the market this model
is used. Samsung uses this model so that they can have smooth operations and maintain their
brand value in market.
 Product
The companies have to understand their product to improve it in respect to how they can
make the products more effective in the market so that the product can compete in the
marketplace effectively (Zarrouk and Ouerghemmi, 2019). There are group discussions which
are held in Samsung from time to time so that everyone can give their opinion in the
organization. Wireless data transfer in made by Samsung so that the customers can be satisfied
further and be attracted in the organization as well.
 Position

Customer relation for the company has to be strong so that they know about the changes
which are expected and what changes are taking place accordingly. Digital tool is going to take
time to capture the market because high competition which the company is improving upon so
that there is a better functionin. It is after the company gains the trust from the customers then
the organization will be able to have a strong base for them in the market.
 Paradigm
There has to be an improvement in the kind of work which is going around in the business.
There are a lot of challenges which comes with changes which have to be got in the business to
met and match the expectations of the customers and the change in trends as well. Changes make
the brand image and the portfolio of the organization improve which is a very good factor for the
organizations.
 Process
There have to be right candidates with the right skills and experience so that the company
can have a better productivity (Mazzarol and Reboud, 2020). This stage is the preparation for
the services and products in the organization. Training is provided to the candidates so that they
can understand the tred and function accordingly in the market.
P 4 Developments in frugal innovation
Frugal innovation is a method which is used by Samsung so that they can have a cost
friendly method to manufacture the good and reduce the complexity. This is good for durable
goods and those parts which usually are used for processing such as phone or car (Razak and
Murray, 2017). To capture the customers it is very important for Samsung which is a
multinational organization to price their products at a low price which is going to get loyalty and
more customers. Demand for Samsung products is going to increase because the business class
have more information available which needs to be analysed everyday and a faster way as well
which is very important for the organization. Technological changes are very high on investment
which is helps the organization to use this method for processing. For example, Mercedes came
up with trucks in the market but since it was not successful they gave it to Tata which is an
Indian brand. Tata used innovation method and made the same product a success in the market
globally.

Samsung will have to understand the market need so that they can make the operations be
planned accordingly so that the demands are met from time to time (Beaudry, Héroux-
Vaillancourt and Rietsch, 2016). Technological changes need a lot of motivation and experience
in the workforce so that the organization can improve the productivity and not reduce it.
Increased competitors in the market and increased the threats of company and need to adopt the
right measures so that they can compete in the market. The bright side of the product in the
market is that the demand for this system is very important and can add a lot of importance to the
company’s portfolio for a long run in the market.
LO 3
P 5 Commercial funnel and the application of new product development (NDP)
The innovation funnel encourages the development of products and services as per the
latest market trends and needs.
Idea generation: The first stage in the commercial funnel is idea generation. Organisation uses
variety of market survey and research so that it can determine the scope or potential for new
improved ideas. Ideas can also be generated from talented human resources as well as from
customer feedback or situational needs.
Feasibility: The generated ideas are then analysed on the basis of their feasibility. The feasibility
is tested on economic as well as application basis.
Capability: The ideas which are feasible are then analysed that if organisation has capabilities to
make it realistic. Further organisation ensures that it has all possible and required resources to
convert the idea into realistic service or product.
Rollout and launch: In the last phase of the funnel organisation rollout its innovatie product
which is commercialised through appropriate distributive network or channel.

Figure 1: Innovation funnel
(Source: Innovation funnel. 2020 )
Importance of Commercial Funnel
 Builds Customer Relations
The company operates in their own language which is a fact which the customers are not
aware of and the other organizations in the market also do that. The content is original in the
business which increases working and the product can find it easier to penetrate in the market.
This helps the business to be able to understand the customers and the needs and demands will
be easily fulfilled of them in the market.
 Enhance Growth opportunities
There is no perfect model which can be applied in any organization therefore it is very
essential for Samsung to enhancing according to situations in the market to improve growth of
business to attain success in the market (Dezi and et.al., 2018). Success cannot be achieved over
time but sing the right methods and strategies can help the company to be able to achieve those
factors. The customers shift from one company to the other very easily which needs to be
controlled so that the organization can have high profits.
 Generate sales
Using the commercial funnel is the perfect method which has been adapted by the
organization so effectively which can support the organisation to have a better stand for
themselves in the market (Çengel, 2017). The desires and needs of the customers and the

company will be able to be achieved on time which is going to be more profitable for the
organization.
 Adopting Marketing Strategy for Business organization
The funnel is going to help Samsung when the organization is not having any strategy to be
used in the organization. The decision making will be stronger and direction will be maintained
in the business which increases the productivity to achieve objectives effectively. The customers
are given the best of services and the products which is what Samsung is focused on so that they
can provide the best to the organization.
 Core competency in the market
Lack of effective strategic planning can make the organization have a lot of misguiding and
is not good for the reputation of the organization in the market. There are a lot of ideas which
requires a right method to be implemented in the market which is going to help the organization
have a better functioning for a long run in the market.
P 6 Innovation business case
Business Case
There has to be an effective funding source in the organization so that the company can have a
better functioning for themselves in the market. It is very important for the organization to
determine and plan the funding and innovation management strategy so that the company can
make the higher profit margins.
Executive Summary
The organization is coming up with a product which can transfer data from one device to
another with a fast medium. The target for the organization is the business class so that there is
a better functioning and the sales of the product can increase in the market. This plan will
discuss various steps which are crucial for making the product launch successful and effective.
These steps will include analysis of funding source, targeted population as well as business
opportunity.
Vision
To make the customers have a better experience and satisfaction in the market so that there is a
better functioning.
Purpose or need served by proposed innovation:

There are a lot of transferring of data in a business which is why this is a very important
device which can capture the market and make the organization have higher profit margins.
Strategy
This is important because the people are looking forward for safety and security for their
personal life and this new innovation is going to make the customers get what they want. The
customers will automatically get attracted to the products of the organization so that there is a
better functioning which is a very important factor for the organization.
Funding
The organization is going to opt for loans from banks because that is the safest and better
method which Samsung has experienced in the past. This is going to help the organization not
lose their command and the decision making of the organization will not have to be changed
so that there is a better functioning which is a very important factor for the organization.
LO 4
P 7 Tools that organization can use to develop, retain and protect knowledge
Trademark of Samsung
Samsung Electronics Co, Ltd is the trademark of the organization. There are a lot of other
trademarks which the organization has taken so that the competitors or any other company
cannot take away the unique feature of the organization (Gross and et.al., 2018). There are
trademarks on the products which are being invented or innovated in the organization which is
making the company have a competitive advantage for a long run in the market. The loyalty of
the customers is also there in the organization which is a great factor for the organization.
Patent of Samsung
The patent figure of Samsung which is D876414 helps to improve the competitive
advantage of the company. The people who invented the Mobile phones are Wooseung Han and
Sangsik Park. There are more than 75,594 patents which are valid in nature in the whole United
Kingdom. The competition in the market has increased which is why it is very important for the
organization to take such decisions and measures for the safety of the organizations long run in
the market.
Copyright of Samsung