...Google also provides specialized searches through blogs, catalogues, videos, news items not forgetting cloud computing and also online advertising technologies. For your information, most of its profits are derived from AdWords which offers pay-per-click, that is, cost-per-click (CPC) advertising, cost-per-thousand-impressions or cost-per-mille (CPM) advertising, and site-targeted advertising for text, banner, and rich-media ads. In a nutshell, this extraordinary company is an American multinational company specializing in Internet-related services and products. Google was founded byLarry Page and Sergey Brin while they werePh.D. students at the University of Stanford. They collaborated and worked on a search engine called "Backrub." The name came from the search engine's use of back-links to determine page relevance. This is a patented algorithm known as PageRank. Brin and Page left Stanford and founded Google Inc. in September of 1998. During the 4th of September, they incorporated Google as a closed company. By the year 2000, Google was the world's widest and largest search engine. By 2001 it did something that eluded most of the dot.com business start-ups of the time. Google became profitable. . The organization’s mission from the outset was "to organize the world's information and make it universally accessible and useful", and its unofficial slogan was “ Don’t be Evil”. They shifted to their new headquarters at Mountain View, California in 2006 which was famously known...
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...Innovation is a key component of any enterprise, but failure is an intrinsic, inevitable part of the process. Most products fail, most mergers and acquisitions fail, most projects fail and most startup ventures fail. All the innovation, entrepreneurial drive and creativity won’t keep your company afloat if it lacks a structure and operating blueprint that can guide its ongoing success and conquer all changes and challenges. The laundry list of companies failing despite innovative, new business models seems almost limitless: 1.Not having a formal innovation management framework and systems 2.Not tying initiatives to overall company strategy 3.Not allocating cross-disciplinary resources 4.Not getting buy-in and ownership from cross-functional teams 5.Not creating intelligence driven options and scenarios 6.Not deploying measurement criteria and metrics In his classic book, Innovation and Entrepreneurship, Drucker describes innovation as a delicate dance between perception and analysis. Analysis, with all its discipline, must be based on a perception of change: “This requires a willingness to say, I don’t actually know enough to analyze, but I shall find out. I’ll go out, look around, ask questions, and listen.’” In an age of unanswerable questions, asking the right question might just be the answer. Faisal Hoque is founder, chairman, and CEO at BTM Corporation and founder of research think-tank BTM Institute. His newest book is The Power of Convergence. © 2012 Faisal...
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...Importance of Technological Innovation SYNOPSIS OF CHAPTER The purpose of this chapter is to set the stage for the course by establishing the importance of managing technological innovation strategically. First the chapter overviews the importance of technological innovation for a firm’s competitive success and the advancement of society in general. The chapter points out that 1) many firms are relying on products developed in the previous three to five years for large portions of their sales and profits; 2) globalization has increased competition putting more pressure on firms to compete through innovation; 3) advances in information technology have enabled both process improvements and the efficient generation of product variants which facilitates the execution of a differentiation strategy at a reasonable cost; and that 3) the residual growth in the GDP can be attributed to technological change. Both the positive and negative effects of technological innovation are described. Advances in food production are an example of the first and pollution is an example of the latter. Next the innovation funnel is introduced to show students that on average 3,000 raw ideas must enter the funnel in order to arrive at 1 successful new product launch. Gestione dell'innovazione 2/ed Melissa A. Schilling Copyright © 2009 - The McGraw-Hill Companies srl Second, the chapter discusses the risks and cost of innovation. On average, many more innovation projects fail than succeed. Firms are...
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...ENTRY 2, DISRUPTIVE INNOVATIONS In this essay I will describe and explain the causes and consequences of disruptive innovation. Firstly I will write about what dualism is, why it is important and how to achieve it. I will continue with describing difficulties, which may occur on a company’s path towards it, namely overshooting and inability to recognize the start of a new industry cycle. Further on, I will go deeper in the reasons, why incumbents fail to recognize the new entrants on the market, specifically “attack from below” and other discontinuous patterns of change. In the end I will describe some of the responses taken by established companies to disruptive technologies. In today’s world when competition is such a big factor, organizations must face the paradoxical challenges of "dualism" to be able to compete in long term. Dualism means being able of functioning efficiently today while innovating effectively for tomorrow. To compete in the long term, every corporation must understand and manage both sets of concerns simultaneously. (Paap, Katz, 2004) If the companies do not manage to face the challenges of dualism, they make themselves potential victims of disruptive technologies. Hence, achieving dualism means successfully surviving disruptive technologies. The first step a company has to make towards that is recognising them, but why it is so difficult for incumbents to recognise disruptive technologies? A limitation companies face in process of achieving...
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...8 Step Process - New Product Development Posted on May 27, 2013 by Robert F Brands 8 Step Process Perfects New Product Development Every entrepreneur knows that productivity is one of the key ingredients for successful product development. One of the two key processes in Robert’s Rules of Innovation is the NEW PRODUCT DEVELOPMENT PROCESS. A formalized, NPD process – also referred to and best practice: the Stage Gate® Process – is a must, from simple to sophisticated. The New Product Development process is often referred to as The Stage-Gate innovation process, developed by Dr. Robert G. Cooper as a result of comprehensive research on reasons why products succeed and why they fail. When teams collaborate in developing new innovations, having the following eight ingredients mixed into your team’s new product developmental repertoire will ensure that it’s overall marketability will happen relatively quick, and accurately – making everyone productive across the board. Step 1: Generating Utilizing basic internal and external SWOT analyses, as well as current marketing trends, one can distance themselves from the competition by generating ideologies which take affordability, ROI, and widespread distribution costs into account. Lean, mean and scalable are the key points to keep in mind. During the NPD process, keep the system nimble and use flexible discretion over which activities are executed. You may want to develop multiple versions of your road map scaled to suit...
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...Strategic Choice and Evaluation Paper STR/581 March 18, 2013 Dr. Robert Rowlett Choosing a sustainable business strategy is not an easy choice but there are companies who have done it and continue to do so. One such company is Amazon.com who first opened their virtual doors in 1994 and “emerged from the dot-com bubble one of the few winners and continued to blaze a trail of impressive growth (from about $4 billion in 2002 to nearly $20 billion in 2008),” (Johnson, 2010.) Companies like Amazon.com survive and thrive because of sound business decisions based upon sound business models. Their business model is based in strong management strategy. In this paper we will explore alternative Generic strategies, value disciplines, and grand strategies for Amazon.com based upon past performance focused on continued success. Generic Strategies “A long-term, or grand strategy must be based on a core idea about how the firm can best compete in the market place. The popular term for this core idea is generic strategy, from a scheme developed by Michael Porter,” (Pearce & Robinson, 2011). Porter believed that the generic strategy should be directly tied to the company’s performance in the marketplace in this way a firm could leverage its strengths and become stronger. Porter suggests that companies will subscribe to one or more of three types of generic strategies: Low-Cost Leadership, Differentiation, and Focus. Amazon.com has enjoyed the success of a focus strategy in the past. This...
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...Innovation is a hot topic in modern society (Bessant and Tidd, 2007). Bessant and Tidd (2007) defines innovation as the process of translation new ideas into useful practice and use them, like new products, processes and services. Many studies about innovation management have been done and theories about innovation are various, like theories about different types of innovation, the process of innovation, and assessment tools of innovation capability and so on. There are many different types of innovation, but traditional research on innovation has been focused on product or process innovation (Peterson, 1972; Brown, 1995). Tidd and Bessant (2009) presents a model of the innovation process with four phases: generate new ideas, select the best one, implement and capture the benefit. Innovation has become more and more important and is discussed by researchers, policy-makers and companies on a daily basis. The governments mention the topic about innovation increasingly and frequently (Swedish Government, 2008). Different authors defines innovation differently and classifies innovation in various types. The Austrian economist Joseph Schumpeter (1934), a pioneer of innovation management, described innovation as “creative destruction”- a new association of production factors and production conditions. Schumpeter defined innovation from five aspects: The introduction of a new goods – which customers are not familiar yet, or a new quality of a goods. The introduction of a...
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...1.Strategy for innovation Innovation: applications of new ideas to the products and processes that increase commercial values. Five techniques for innovating by using existing resources (inside the box): Subtraction: generating a new innovation by removing the existing components. Division: separate an object or service to multiple parts and rearrange the parts into something new. Multiplication: duplicate a current components and innovation by removing the existing components. Task unification: unifying unrelated functions or tasks. Attribute dependency: make previously independent attributes dependent on one another. Generating new ideas is easy, but making them into innovation is hardneed innovation strategy. Innovation strategy: long-term plan that improves firm’s innovation success rate. A good innovation strategy invests in innovation projects that align with company’s resources and capabilities and satisfy customers’ needs. Why important? It enables firm to introduce innovations to marketplace and thus remain competitive. It helps enhance the existing products and services so that improve customers’ utility. It improves the efficiency and output of the process of innovation. It helps to understand and manage the risk associated with innovation. 2.Inspiring innovation Internal sources of innovation * R&D: investment in basic researches (researches that advance knowledge) Investment in applied researches (researches for specific problem or...
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...Buss 4 January 2012 To what extent is diversification the best strategy to achieve profitable growth? (40 marks) Diversification, one of the four strategies in the Ansoff’s Matrix, is a corporate strategy to enter a new market or industry which the business is not currently in, whilst also creating a new product for that new market. Profitable growth is a term often used by CEOs when describing the firm’s strategic objective. Business growth can be achieved either by boosting the revenue of the business with greater product sales or service income, or by increasing the profitability of the operation by minimising costs. Diversification plays a great role in the growth of many large businesses, however, the extent of the growth is largely dependent on factors such as: the type of industry that the business is in or the risks involved into entering new markets. There are many ways in which to diversify a business, all which may be included in the strategy to achieve profitable growth. The most straightforward of these is to provide a natural extension of the goods or services that you already offer to customers. The best example of business that has undergone diversification is Samsung. Samsung is best known for its smartphones, tablets and televisions, however Samsung’s business activities and operations are spread wider than just those two important markets. The electronics giant also makes military hardware, apartments, ships and operates a Korean amusement park. The...
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...of this article is to defining the entrepreneurship by integrating the existing theory. At first, reviewing the origin of entrepreneurship, nothing generated without reason, critically analyzing the origin will promote to understand the meaning of entrepreneurship. Secondly, defining entrepreneurship by combine the different theory and taking examples to support definition. The origin of entrepreneurship Entrepreneurship was developed from “entrepreneur”, with the development of economic, how to operate a firm and how to do better than a chief executive officer was consider in 16th century, economists made attempt to study in depth about chief executive officer and come up with “entrepreneur”. Although at that time, this word “entrepreneur” was not existent, economists still realized this phenomenon and tried to describe it. As a factor in microeconomics, entrepreneur, was study by several scholars and until the 1723, this word was represented by Cantillon (Muljadi Paul, 2000, p.5). The economic development promote to establish a company, therefore, the word “entrepreneur” was born. Cantillon (1755) indicated that entrepreneur is a risk taker and profit taker, they try their best to make profit by grabbing the opportunity. Cantillon was a pioneer of study entrepreneur and entrepreneurship: he distinguished the entrepreneur with board (Cantillon Richard, 1755). Back to entrepreneurship, the earliest historical study to entrepreneurship was a few years latter. Economists thought...
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...Chapter 1 An Introduction to Management of Technology M .A. Akkas, Professor, Department of Management Studies, University of Dhaka. 1. 1. Introduction We live in a man-made technological world. Technology has played the basic role of an instrument for transforming the primitive and natural world into a technological and man -made world. Technology determines the standard of living of people of a given country. It is technology that makes basic difference between developed and developing countries. Developed countries are also technologically advanced and sophisticated. Developing countries, in contrast, are poor in technologically. Technology provides a nation the competitive edge. Technology is a game for the rich, a dream for the poor and a key for the wise. Technology creates debates in many circles these days. Technology means different things to different people. Some blame it for environmental destruction and cultural fragmentation. Some technologies jeopardize environment and social values. The abuse of it leads to social disaster. Others view it as the key to economic and social progress. Technology enhances muscle and brainpower. It is a tool to increase productivity. It is a tool to dominate the nature and society. It is a key for unlocking nature’s storehouse. It is a tool for deriving benefits from the nature. It is viewed as a source of wealth, well being and instrument of power to dominate nature and societies. No doubt there...
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...Critically analyses why a business can fail during the early stages of operation in a context you are familiar with. Bakr and Ellis(1987) There is no generally accepted definition of business failure,but from the economic approach,it can be defined as firm earning a rate on return on investment which is less than the company’s opportunity cost. Starting the new business at the beginning of stage is the most difficult period. There are no guarantee that the business is going to success or fail in the future, it all about how the owner of the business to handle the situation, catching the change in market,beating the competitor and making profit year over year.There are also thousands of new born business suffering from the failure period which lead to the company go burst and lose everything. The new born business can manly divide into two parts,the first one would be the Internal factors such as,financial problem,difficultly of getting trust from the suppliers, cost problem, management problem etc. The second one would be external factor,such as the business environment,government measures,taxation etc. So it is very important to know what exactly makes the difference between the succeed and a failed company and how the Entrepreneur is going to handle the situation to avoid the company go bankrupt and gain some experience form the failed examples to avoid the same situation happen when setting up the business during the first stages. There are also some positive and negative...
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...Term Paper RESON: MAKING DEVELOPMENT TEAMS ACCOUNTABLE FOR SHORT PROJECT CYCLES: Case Study by XXXXX XXXXXX Professor XXXXXX XXXXXX University January 30, 2015 Content Company Background 2 Company’s Structure and Strategies 3 Specific Problems 3 RESON’s shared philosophy 4 Reson: All focus on time 5 Reson: project in 1998 5 Grounded 5 Recommendation 6 Conclusion 8 References 9 RESON: MAKING DEVELOPMENT TEAMS ACCOUNTABLE FOR SHORT PROJECT CYCLES Company Background Reson Company was found in Denmark in 1976. The company...
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...read in the press or business press about Apple and innovation, marketing, or product development, the fundamental business strategy at Apple is a financial one. Apple’s fundamental strategy is to squeeze as much profit as humanly possible from every sale it makes. Apple’s financial strategy, then, is to maximize its margins, a financial strategy it has pursued single-mindedly since Steve Jobs returned to the company. This foundational financial strategy informs every other aspect of its business model. Product development — to maximize margins, Apple has to offer products that consumers can buy nowhere else. This involves one part cutting-edge design, one-part unique, hard-to-emulate features, and several parts marketing. Always be launching – A standard truth about marketing is that early adopters are willing to pay the highest prices – and highest margins. The Apple launch strategy involves super-hyping products in order to build the largest army of early adopters possible. All those nice people who stood in line for an iPad on the day of its launch were willing to pay a pretty penny to get their hands on the device. The second part of the strategy is to continually relaunch products. The Apple financial strategy – maximize margins as much as possible – is wedded to a marketing strategy of maximizing early adoption. Why is Apple so secretive to the point of insanity? Because you can’t maximize early adopters if your product is old before it’s launched. Keep the cash coming...
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...[pic] RESEARCH PAPER INNOVATION IS THE PATH OF SUCCESS SUBMITTED TO: Prof. Ramasastry SUBMITTED BY: AMRITPAL SINGH ROLL NO: 01 SECTION: 1 - D BATCH: 2009-11 |“INNOVATION IS THE PATH OF | |SUCCESS” | | | |[pic] | To understand innovation, you first have to see the differences between an invention and an innovation. An invention is a new idea that is often turned into a tangible outcome, such as a product or a system. An innovation is the conversion of a new idea into revenues and profits. An idea that looks great in the lab and fails in the market is not an innovation; it is, at best, a curiosity. As Jeff Immelt once put it, “Innovation without a customer is nonsense; it’s not even innovation.” Invention is needed for innovation to take place. But invention is not innovation. In many companies, inventions that result in patents are considered innovations. These companies are often touted as “innovative.” In fact there...
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